BNB has tokens for each Altcoin

[apa don]

The idea itself is not new, but in fact it can create difficulties for a new user to understand what exactly he is buying a token or coin. For users with extensive experience in this area, this gives a lot of opportunities, but there is also a big bad news against this background, too many scams and similar projects.

Yes, it is very true, but for new users or beginners, at least understand it before buying tokens or coins, because if we don't understand how to buy tokens or coins, we will fall into a very deep abyss, as well as those with extensive experience, don't be tempted by golden opportunities in front of your eyes, why do I say that, because I've often watched market assets before, in seconds they can change, so be careful in studying this opportunity.

[Baimovic]

I am also a user of the BSC platform, for now I also often transact using BSC, as quoted above, it seems that only the platform is different but for the price everything is almost the same as other platforms, so we don't have to worry about holding the token, because it is only crosschain if we use it. If you want to sell, you have to exchange BNB, but so far the original tokens I hold in BSC are all safe and the price always follows the original.

[unusualfacts30]

there are a lot of other exchanges that do this. Wrapped token can bring a lot of value to the token by giving it more exposure. drawbacks is you are not trading real tokens by more of a void of a token that exists in bsc. Wrapped tokens have been around for a very long time and some people like trading them.

[pinoycash]

The idea itself is not new, but in fact it can create difficulties for a new user to understand what exactly he is buying a token or coin. For users with extensive experience in this area, this gives a lot of opportunities, but there is also a big bad news against this background, too many scams and similar projects.

This is the some of the major flaws in crypto market, without proper understanding and knowledge on the token or coin newbies are buying it can lead to scam or worst losing his money.

Before, this type stories always pop's out on facebook how someone bought a token on pancake and cannot sell it back, Only to know that he bought a different token or a copy cat token.

[Ararbermas]

Probably the real reason why they just use that technique is to assure every holder that own token from them will trade only on their exchange which is binance.com because if they didn't do that way, seems very unacceptable that knowing you use their service when swapping to different assets but you will trade it other exchanges.. So in my opinion perhaps that's the reason why they choose that way just to keep those who owned token from them.

[AhmadM]

If you want to buy the real coins you need to swap for BNB then deposit that on binance.com and then trade for the real coins.

If I remember correctly Binance exchange also supports deposit BSC network for those altcoins you mentioned earlier, what you need to do is just select the appropriate network when generating deposit address, then you can immediately withdraw it in its native blockchain or trade it with other coins.

But here the issue is, they have created a token for each altcoin, and from my perspective, that's a nasty move because for sure there is a lot of people holding these tokens and thinking they are holding real altcoins.

The existence of pegged or wrapped tokens isn't new. Furthermore, lots of them already spread in the current market, I think it kinda wrong if we blaming Binance because of this. It's the fault of people who didn't understand what they are doing such as hold and thought its the real one

[smartaction]

It is also real litecoin but it is in BSC Network. You can check on binance deposit option or withdraw option. You will get 3 type of Network for LTC. LTC Main Blockchain Network, BEP2 Network (BNB Main Network) And BEP-20 (BSC) Network.

[bryant.coleman]

It is also real litecoin but it is in BSC Network. You can check on binance deposit option or withdraw option. You will get 3 type of Network for LTC. LTC Main Blockchain Network, BEP2 Network (BNB Main Network) And BEP-20 (BSC) Network.

The LTC that is available in BEP2 and BEP20 are not the real LTC coins, right? My understanding is that they will be the tokens issued by Binace against LTC. Although the value will be the same, it is slightly more riskier. I had bad experience with exchanges several times in the past. I know that Binacne is having an excellent reputation, but I would still be wary about trading and owning these tokens. But in case of Litecoin, I can understand. It is not easy to store LTC in some of the online wallets that are freely available.

[livingfree]

That is a tactic of theirs so that people will buy on their BSC network and everything has to be traded first with their own token made for each altcoin.

It's just that CZ knows how to make a strategic move so that it can increase the demand for his tokens on his own network.

very strategic and i think it should have been done by other platforms too like the TRX and ADA. for ADA i believe they are on the way to be doing this while their smart contract is already up. they've already had deals with ERC projects actually. crosschains and tokenbridges will make it possible for all these platforms to have interoperability.

I hope that other platforms won't create their own but just follow what CZ has done so that there's synchronization and there won't be that much wrapped tokens made by other platforms.

But maybe we'll see the other wrapped tokens made by other platforms and can easily be exchanged through those cross chains and bridges.

[ene1980]

But here the issue is, they have created a token for each altcoin, and from my perspective, that's a nasty move because for sure there is a lot of people holding these tokens and thinking they are holding real altcoins.

I want to know what does the community thinks about this move from Binance.

I am not happy with the way in which Binance is controlling the market, imagine them getting into trouble and all they do is file for bankruptcy and move on while billions will be lost to the end customer and we have seen many instances in the past and hopefully they are not a ticking time bomb in the cryptocurrency market space that is going to change everything, but i feel that they are going to mess up everything somewhere.

[zonefloor]

this is a really nice move. Because it is not limited to a single network. Also, I can't say whether it will happen or not, in case ETH disappears tomorrow, the same subbases will continue on the BSC network. Or it can continue on various bases. But be careful when sending to exchange platforms in this regard. They can cause problems if you cross-post to some exchange platforms.

[FinneysTrueVision]

It can be confusing because they don't call these tokens Wrapped LTC, they just call them LTC. All these wrapped tokens are centralized and managed by Binance but there is also other versions managed by other companies like tDoge and vBTC. For trading purposes people want to have exposure to the price of BTC and other popular coins so this is a good solution. The problem is that sometimes these coins can lose their peg, which is currently the case for tDoge and tBTC.

[cabron]

It can be confusing because they don't call these tokens Wrapped LTC, they just call them LTC. All these wrapped tokens are centralized and managed by Binance but there is also other versions managed by other companies like tDoge and vBTC. For trading purposes people want to have exposure to the price of BTC and other popular coins so this is a good solution. The problem is that sometimes these coins can lose their peg, which is currently the case for tDoge and tBTC.

It's decentralized so there will be no stopping teams from creating synthetic assets. WETH and WBTC have been like doubling the supply count, WBTC for instance is like adding 21M more coins and then this vBTC as well. 

I'm not going to be surprised if there are scams out there that work as synthetic BTC and ETH which the team could just grab real BTC from the investors, wBTC and wETH are actually attracting when you are addicted to Defi.

[seoincorporation]

Thanks for sharing your point of view guys, its nice to see how you see this topic and how for some users is totally normal.

The issue here is the market capitalization, Binance tokens of the altcoins have the same market cap as the altcoins, and for me, that's like making money from nowhere, that's why for me this is a nasty move. The tokens should create their own market cap, and not make a copy/paste from the other coins markets. I think this is the main issue.

[Sayeds56]

as 3 countries have decided to block the Binance exchange for regulatory reasons, the impact on the coin itself is obvious, so when the price of Bitcoin, Cardano, and some other cryptocurrencies, BNB did not recover. so when the Bitcoin Crash continued it was clear that BNB coin became the crypto being the crypto with the lowest buying volume including Tokens under the BNB network.

It is true that many counties are blocking Binance exchange but we didn't notice any major negative impact of this news on BNB Price. Binance has done wonderful job during the past 4 years to create use case of its BNB coin. We like it or not but now it is alternative of Ethereum network becuase its fee is very low. Every other new project is being launched on Binance smart chain. Binance has become too big now so it won't die easily.

[viananda2525]

as 3 countries have decided to block the Binance exchange for regulatory reasons, the impact on the coin itself is obvious, so when the price of Bitcoin, Cardano, and some other cryptocurrencies, BNB did not recover. so when the Bitcoin Crash continued it was clear that BNB coin became the crypto being the crypto with the lowest buying volume including Tokens under the BNB network.

It is true that many counties are blocking Binance exchange but we didn't notice any major negative impact of this news on BNB Price. Binance has done wonderful job during the past 4 years to create use case of its BNB coin. We like it or not but now it is alternative of Ethereum network becuase its fee is very low. Every other new project is being launched on Binance smart chain. Binance has become too big now so it won't die easily.

So far there is no negative impact to binance coin price due this fud. Binance as best crypto exchange in market have many cooperation with several local government and even binance advisor was former officer in America. i know there will bargaining with the countries who issued blocking binance operation. 

[crzy]

Thanks for sharing your point of view guys, its nice to see how you see this topic and how for some users is totally normal.

The issue here is the market capitalization, Binance tokens of the altcoins have the same market cap as the altcoins, and for me, that's like making money from nowhere, that's why for me this is a nasty move. The tokens should create their own market cap, and not make a copy/paste from the other coins markets. I think this is the main issue.

We’re using the BSC network and it’s good for them to take advantage of this to introduce more options that works for both parties and that’s how business works mate. You create a project, you create your own altcoins and then you introduce something in the market that will use the altcoin you created, this is how brilliant Binance team are and that makes them valuable.

[tsaroz]

Some weeks ago i used metamask and pancake swap to sell some tokens, and they give the option to sell them for common altcoins like ETH, LTC, DOGE... But when you use this service to buy the altcoins what you are buying are the tokens of these coins and not the real coins, as an example I will leave the link to the LTC smart contract:

https://bscscan.com/token/0x4338665cbb7b2485a8855a139b75d5e34ab0db94

If you want to buy the real coins you need to swap for BNB then deposit that on binance.com and then trade for the real coins.

But here the issue is, they have created a token for each altcoin, and from my perspective, that's a nasty move because for sure there is a lot of people holding these tokens and thinking they are holding real altcoins.

I want to know what does the community thinks about this move from Binance.

They are actually holding them as the same amount of coin are frozen on smart contract. Unless there's so disastrous events with the contract or the resources, user can always redeem them with a bridge. It's not just BSC but every other utility platforms like Ethereum network, Polygon, etc have their own set of tokens for most of the coins.

[bryant.coleman]

The problem with tokenizing cryptocurrency is that there is always a chance that the issuer of the token can cheat the owners of the token and move the funds without their permission or knowledge. You can argue that Binance is a very trustworthy exchange and any chance of something like that happening is very low. But always remember the ultimate law in cryptocurrency market - not your keys, not your coins. The same is applicable for these tokens as well. If you want to use them, limit the usage just for trading and redeem them as soon as the purpose is done.

[AhmadM]

It is true that many counties are blocking Binance exchange but we didn't notice any major negative impact of this news on BNB Price. Binance has done wonderful job during the past 4 years to create use case of its BNB coin. We like it or not but now it is alternative of Ethereum network becuase its fee is very low. Every other new project is being launched on Binance smart chain. Binance has become too big now so it won't die easily.

Well, Binance being prohibited to operate in some countries isn't a new story and we have heard it few times in the past. As you said this issue would not affect too much BNB values since there are lots of folks who still loyal to use both their services and  its currency.