Are you looking to get into the cryptocurrency market but don’t know where to start? Binance Coin (BNB) is a great choice because of its versatility and low cost.
Created by the established exchange, Binance, BNB has become one of the most popular altcoins on the market. Its appeal is understandable as it unlocks a wide variety of discounts, cashback offers, and trade bonuses, trading fees can be reduced by up to 25%. As with any buying or trading decision, however, Binance coin requires careful consideration of factors such as availability, costs, and security measures when making a purchase.
If you’re considering purchasing a Binance coin to add to your portfolio, there’s no need for guesswork. In this guide, we explain all the steps involved in acquiring this powerful digital asset – from understanding why you should buy it in the first place through to selecting a secure platform for executing your trade. Let’s get started!
Main Binance Coin Points To Know:
- Binance Coin (BNB) is a popular altcoin that offers discounts, cashback rewards, and bonus trading fees.
- Users must open an online account and comply with KYC standards when buying BNB.
- Various exchanges offer different services when purchasing BNB, including Binance.US, Crypto.com, and eToro.
How to Buy Binance Coin (BNB) – Step-by-Step Guide
Buying Binance Coin (BNB) is a great way to start investing in the cryptocurrency market. BNB is the native token of the Binance exchange, one of the largest and most popular exchanges in the world. To purchase BNB, you must first open an online account and comply with KYC standards. It is also important to consider buying a wallet to store your tokens securely. There are several types of wallets available, including software wallets for maximum security. Once you have chosen a wallet, you can place either a market order or a limit order to buy BNB at the going exchange rate or wait until it reaches a certain price point.
When purchasing BNB, it is important to consider your individual needs and preferences. For short-term speculation, exchanges such as KuCoin or Crypto.com may be suitable options. However, if you are looking for long-term investments, then it is best to buy BNB on an exchange and transfer it to a hardware wallet for safekeeping.
1. Select a Crypto Exchange
Cryptocurrency exchanges are essential for anyone looking to buy or trade digital assets. Different exchanges offer different features, so it’s important to do your research and find one that offers BNB trading. BNB can be purchased on Binance.US, Crypto.com, and eToro, all of which offer different advantages and disadvantages.
Binance.US is a popular choice due to its low fees compared to other exchanges. However, its lack of transparency about security and history of regulatory issues in the U.S. may make other exchanges more attractive options for some investors. Crypto.com offers a wide range of services including staking rewards, while eToro is an excellent choice for those who want to invest in cryptocurrencies without having to manage their own wallets or private keys. Ultimately, the best exchange will depend on your individual needs and preferences as an investor.
2. Buy BNB
Buying Binance Coin (BNB) is a great way to get involved in the cryptocurrency market. It is one of the most popular coins on the exchange platform, and it can be purchased with a debit card, credit card, or electronic bank transfer. When trading on the exchange platform, you will need to enter BNB’s ticker symbol and the amount you want to invest. We recommend avoiding using credit cards as they incur higher fees and APRs, and borrowing money to invest is risky.
Once you have decided how much BNB you would like to purchase, there are two Buy buttons available on the screen. The second button will not be shown if you already have some BNB in your wallet. Additionally, there are other options such as receiving or sending BNB that can be used for trading purposes. With all these options available, buying BNB is an easy process that can help you get started in the world of cryptocurrency trading.
3. Store Your BNB
Storing Binance Coin (BNB) securely is an important part of cryptocurrency ownership. There are several options available for users to choose from, depending on their preferences and needs. Hardware wallets are considered the safest option as they provide offline storage and can be used with multiple cryptocurrencies. Paper wallets store private keys on a piece of paper or QR code but must be stored securely to avoid loss of access. Software wallets are downloadable apps that store cryptocurrencies on devices and are more convenient but less secure than other options. Cryptocurrency exchanges can also store tokens on behalf of users, which is convenient and makes it easy to exchange tokens, however, there is a risk of security breaches so it should be used as a short-term solution.
Trust Wallet is a great choice for storing BNB outside of the Binance exchange as it offers the most features adopted from Binance. It supports swapping and exchanging tokens, investing in NFTs, staking assets, participating in Defi ecosystems, and more.
The Top 5 Ways To Buy & Sell Binance Coin Instantly
1. Binance Exchange: The most popular and convenient way to buy and sell BNB is through the Binance exchange. It offers a wide range of trading options, including spot trading, margin trading, futures trading, and more. Additionally, it has one of the lowest fees in the industry and provides access to a variety of tokens.
2. Crypto Exchanges: There are many other crypto exchanges that offer BNB trading, such as Coinbase, Kraken, and Bitfinex. These exchanges offer different features and fees so it is important to compare them before deciding which one to use.
3. Peer-to-Peer (P2P) Exchanges: P2P exchanges allow users to buy and sell cryptocurrencies directly from each other without the need for a middleman. These exchanges are often cheaper than traditional exchanges and provide access to a wider range of tokens.
4. Crypto ATMs: Crypto ATMs are another way to buy and sell BNB instantly. They allow users to purchase cryptocurrencies with cash or debit cards, although fees can be high.
5. Debit/Credit Cards: Many exchanges offer the option to buy BNB with a debit or credit card. This is a convenient option for those who don’t have access to a bank account or would like to purchase tokens quickly. However, fees can be high and it is important to check the exchange’s terms and conditions before making a purchase.
What factors should I consider when I buy Binance Coin?
When buying Binance Coin (BNB), it is important to consider the following factors:
1. Security: Make sure you are using a secure platform or wallet to store your BNB. This will help protect your tokens from hackers and other malicious actors.
2. Fees: Compare the fees of different exchanges to find the best deal for your needs. Some exchanges have higher fees than others, so it is important to do your research before making a purchase.
3. Liquidity: Check the liquidity of the exchange before buying BNB, as this will determine how quickly you can buy and sell tokens on that platform.
4. Reputation: Read reviews and check out forums to get an idea of what other users think about an exchange before committing to it. This will help ensure that you are dealing with a reputable platform that provides good customer service and security measures.
5. Trading Options: Different exchanges offer different trading options, such as spot trading, margin trading, futures trading, and more. Make sure to research the features offered by each exchange before making a purchase.
6. Token Selection: Some exchanges offer a wider selection of tokens than others. If you are looking for access to a variety of tokens, make sure to check the token selection of an exchange before committing to it.
Is buying Binance Coin riskier than other cryptocurrencies?
Binance Coin (BNB) has been a hot commodity in 2021, with its price rising from under $40 to nearly $700 in May. This recent price dip may make it seem like the perfect buying opportunity for new investors. However, there are some common mistakes that buyers should be aware of when investing in Binance Coin.
The first mistake is not doing enough research. Before investing, it’s important to understand how BNB works and what its potential is. Additionally, buyers should diversify their portfolios by investing in other cryptocurrencies as well as BNB. Another mistake is not taking advantage of all the ways to use BNB. For example, traders can trade BNB on Binance’s exchange or stake it on the BSC network to earn interest. They can also trade for a network fee on the Binance DEX or convert or swap their BNB for other tokens through PancakeSwap. Finally, buyers should be aware of any fees associated with buying BNB and make sure they are comfortable with the risks involved.
1. Not learning about Binance Coin first
Investing in Binance Coin (BNB) is an attractive option for those looking to diversify their cryptocurrency portfolio. BNB is the native cryptocurrency of the world’s largest crypto exchange, Binance, and can be used to pay gas fees on the Binance Smart Chain. Despite its potential, there are risks associated with investing in Binance Coin due to legal issues surrounding the exchange.
BNB was initially launched on the Ethereum blockchain in 2017 and has since become the native asset of Binance’s own blockchain network, the Binance Smart Chain, which launched on September 1, 2020. As of writing, 1 BNB trades hands for a little over $279, making it the 5th largest cryptocurrency by market capitalization. Before investing in any cryptocurrency it is important to do your research and understand all of the risks involved. This includes researching the history of a coin as well as understanding how it works within its respective blockchain network. Additionally, investors should be aware of any legal issues surrounding the exchange they are buying from.
2. Trying to time the market
Trying to time the market is a risky endeavor, especially when it comes to cryptocurrency. The spot market is where buyers and sellers come together to buy and sell BNB, with several different order types available including market orders and limit orders. Market orders let you buy BNB at the lowest possible price with lower fees, while limit orders let you purchase BNB at a specified price.
Cryptocurrency is a highly volatile, speculative investment that can be difficult to predict. It’s important to remember that only invest what you’re prepared to lose and prioritize saving money in an emergency fund, contributing to retirement savings, and paying off high-interest debt balances before investing in crypto. Timing the market can be tricky and it’s important to do your research before making any decisions. Be sure to understand the risks associated with investing in cryptocurrency coins before taking any action.
3. Picking the wrong place to buy it
When it comes to buying cryptocurrency, it is important to choose the right place. The wrong choice can lead to a variety of issues, including security risks and high fees. Binance is one of the most popular exchanges for buying cryptocurrency, with both an international and U.S. version available. It offers a wide range of coins and tokens, as well as competitive trading fees and secure storage options. Additionally, its user-friendly interface makes it easy for beginners to get started in the world of crypto trading.
Crypto.com is another great option for buying cryptocurrency. It has advanced features that make it more suitable for experienced traders, but its user-friendly design makes it easy to navigate even for beginners. Crypto.com also offers competitive trading fees and secure storage options, making it a great choice for those looking to buy cryptocurrency safely and securely. However, due to its advanced features, some users may find it difficult to use at first until they become more familiar with the platform.
4. Using a costly payment method
Paying for BNB tokens with a payment method can be a costly endeavor, depending on the exchange you use. It is important to compare fees between different payment methods to find the most inexpensive option. Bank transfers may take several business days to process, so it is important to plan accordingly. Paying by debit card or money wire tends to be more costly than other methods, such as ACH transfers or e-checks.
When using a payment method, you will need to input the amount of BNB tokens you wish to purchase in your preferred fiat currency. You will also need to provide an email address and details on your payment card in order to initiate the transaction. Once everything is confirmed and authorized, the BNB tokens will be deposited into your Trust Wallet account. It is important to remember that some exchanges may charge additional fees for processing payments, so make sure you are aware of all costs before initiating any transactions.
5. Spending more than you could afford to lose
Cryptocurrency investments should only be made with money that can be lost without significant financial hardship. This is because cryptocurrency is a relatively new asset class and its future is uncertain. It’s tempting to go all in, but it’s important to plan for the possibility of losses.
When investing in cryptocurrency, it’s important to compare the fees for different payment methods with your crypto exchange to find the most cost-effective option. Bank transfers are usually the least expensive payment method, but can take several business days to process. Paying by debit card or money wire tends to be more costly than bank transfers, so it’s important to weigh up the pros and cons of each payment method before making a decision. Ultimately, it’s important not to spend more than you can afford to lose when investing in cryptocurrency as there is no guarantee of returns.
Binance Coin Conclusion
In conclusion, buying Binance Coin (BNB) is a great way to get involved in the cryptocurrency market. With its competitive trading fees and secure storage options, Binance is one of the most popular exchanges for buying and selling cryptocurrency. Crypto.com is another great option for those looking for advanced features and user-friendly design. When using a payment method, it is important to compare fees between different payment methods to find the most inexpensive option. Finally, it is important not to spend more than you can afford to lose when investing in cryptocurrency as there is no guarantee of returns.