BNB — Breaching all previous ATH like a rising star
BNB was initially issued as an asset to function within the Binance website and its broader ecosystem.
BNB powers the Binance Ecosystem. As the native coin of Binance Chain, BNB has multiple use cases: fueling transactions on the Chain, paying for transaction fees on Binance Exchange, making in-store payments, and many more.
Main usecases of BNB:
- Exchange fee discount
- Unique participation rights in Binance Launchpad IEOs
- Quote currency on Binance, Trading pairs with BNB
- Third-party uses, You can read about it here https://www.binance.com/en/bnb
You can invest in BNB via Dollar Cost Averaging method to maximize your returns while doing better risk management for your long-term savings goal.
What is Dollar Cost Averaging (DCA)?
Dollar-cost averaging is an investment strategy that aims to reduce the impact of volatility on the purchase of assets. It involves buying equal amounts of the asset at regular intervals.
Why use dollar-cost averaging?
The main benefit of dollar-cost averaging is that it reduces the risk of making a bet at the wrong time. Market timing is among the hardest things to do when it comes to trading or investing. Often, even if the direction of a trade idea is correct, the timing might be off — which makes the entire trade incorrect. Dollar-cost averaging helps mitigate this risk.
Source: Click on Source button to read more about DCA
The main benefit of using this strategy is that Timing the market is difficult, and those who don’t wish to actively keep track of the markets can still invest this way.
Follow these steps to do DCA investment in BNB in a complete decentralized manner:
- Install metamask app or extension from https://metamask.io/
- Log in and take a backup of your keys on a paper (12 words seed phrase would be there).
- Go to How to configure binance smart chain on your metamask from this link.
- Deposit Funds to your metamask wallet, using binance exchange or trust wallet. You can deposit BUSD/BNB/USDT on Binance smart chain from Binance or using trust wallet.
- Now visit bitdroplet dapp & connect your wallet.
- You should be on BSC mainnet for the website to work.
- You can see your Metamask wallet balance on the Left & contract wallet balance on right.
- Go to USDT/BUSD pair, Swipe down and click on CREATE CUSTOM PAIR.
- Go to WBNB/BUSD or WBNB/USDT pair.
- Fill in the SIP configuration, SIP Amount (amount of token you want to spend per installment) & frequency of installment.
11. Complete the 3 step process to start the SIP.
- For example, you choose the WBNB / BUSD pair. It means that you will Get WBNB by giving BUSD tokens.
- Step 1: Allow the contract to spend a one-time fee (WBNB token) & deposit the fee to the contract address. The one time fees on the binance smart network is 0.01 WBNB
- Step 2: Allow contract to spend BUSD token & also deposit BUSD to contract address. You will choose how many installments worth BUSD you want to deposit. For eg: 10 installments worth or 20, 30, etc. So that contract can continue SIP installments without running out of BUSD.
- Ensure you deposit USDT or BUSD or WBNB only from the binance smart chain address. The minimum WBNB that you need to maintain is 0.05 WBNB. If the balance ever goes below that your SIP would stop.
- Step 3: Approval step to start your SIP.
12. Your current SIPs will be shown on the home page under Your SIPs card.
13. Use the Deposit tab to deposit tokens to the contract wallet.
14. Use the withdrawal tab to withdraw tokens from the contract wallet to your metamask wallet.
Onwards towards making a more Decentralised future. We are the world’s first Decentralised SIP platform.
