BNB’s token is multi-purposed, often depending on the user and which Binance products they wish to use. It can be used as a currency like in the case of Binance’s venture capital arm, a token of Binance’s smart contract blockchain called Binance Chain. It can also be used as a trading pair with built-in discounts like when used on the Binance exchange. BNB also has speculative value nearer to equity rather than a currency with a buyback and burn function.
The BNB Chain is comprised of the BNB Smart Chain, BNB Beacon Chain, sidechains, and rollups. The Beacon Chain is the layer dedicated to protocol governance via staking and voting, whereas the BNB Smart Chain is the layer dedicated to the consensus and execution of the Ethereum Virtual Machine (EVM). The BNB Beacon Chain facilitates the trades for the Binance decentralized exchange (DEX), which is based on a peer-to-peer distributed system utilizing Tendermint Byzantine Fault Tolerance (BFT) consensus.
