By
Chimamanda U. Martha
April 19th, 2024
At Binance’s 2nd anniversary’s AMA, Changpeng Zhao spoke about the extension of their 25% trading fee discount and the team’s commitment of BNB allocations to the token burn. Also, he announced testing of Binance Futures and providing Binance Visa card.
Because it is Binance’s 2nd anniversary its CEO Changpeng Zhao decided to answer some questions in his, already traditional, fifth live ask-me-anything (AMA) session.
Among others, CZ addressed the extension of their 25% trading fee discount, the team’s commitment of BNB allocations to the token burn, and other important topics across the Binance ecosystem.
As said, Binance will continue to keep the 25% discount for using BNB to trade on Binance.com. According to the whitepaper, they should be reducing the discount from 25% to 12.5% on July 14. Zhao also said that the company wants to continue the 25% discount for at least another year. He mentioned that yesterday company released margin trading fully to everyone and over 10,000 signed up for margin accounts. He said:
“So far, there’s more than $15 million borrowed for margin trading, so clearly there’s a very strong demand for that, and we’re happy to finally push the product out, and have more people use it.”
Zhao also said that all team members will allocate 100% of 80 million BNB to the burn.
“We’ve been discussing with all the Binance team members. And the unanimous decision by the Binance team is that they will not spend a penny from their ICO allocation of BNB, which is 80 million BNB. At the current rate, that’s currently worth US$2.4 billion. We’re not gonna cash that out, We’re gonna burn it all.”
He also confirmed that the company is planning to begin public testing of the Binance Futures feature by the end of July, starting with a simulation market and in 10 to 20 days, they will make the testnet live.
He spoke about increasing awareness of Binance DEX. Every month, they plan to select tokens on Binance Chain with high trading volumes to list on Binance.com. This should encourage the project teams to push Binance DEX into their communities and users, so they can get higher trading volumes on Binance DEX. Also, he added that eventually, they’re going to open-source Binance DEX without worrying about people copying them.
Zhao also gave a small announcement saying that they will probably support smart contracts in the future. He said:
“There are plans and architectures are being discussed, as well as different models we’re considering, but we haven’t decided on one architecture yet, whether it’s layer 2 or native, etc. It will likely be an Ethereum-compatible smart contract engine.”
He added they are probably going to pick up the pace for Launchpad projects. Right now, it’s roughly one project every 40 days but he says given the number of good projects in the pipeline, there could be an increase to probably 5 projects over the next three months or so, but the exact numbers are still not exact.
He also announced that Binance is in talks with other partners to provide a white-label, Binance VISA card and that they are actively looking into it.
Asked about opening BAM (U.S. Binance platform) before the deadline, Zhao said that the exact schedule depends on their partner in the U.S., so he still doesn’t have detailed plans for that, but the plan is to serve U.S. users on that platform.
On the question of when they will be adding security tokens, Zhao answered that he finds them “tricky”. He said:
“Binance.com is a centralized exchange, and we tend not to overly focus on security tokens. We require project teams to seek. legal opinions on a project not being a security token. So we try not to step on other people’s toes, not to push boundaries there.”
UPDATE: Whalealert.io just published 808,888 BNB burned through Binance Exchange. Total value of Binance coins is worth $23,976,814 USD. BNB price is up by almost 7% making $31,16 as per data on CoinMarketCap.