TechCrunch founder and XRP-denominated cryptoasset hedge fund partner Michael Arrington has recently revealed that 90% of the employees at leading cryptocurrency exchange Binance get paid in the company’s native Binance Coin (BNB) token.
Arrington noted through Twitter he learned this after meeting the company’s CEO Changpeng Zhao at the Lichtenstein Cryptoassets Exchange (LCX) event. As covered, the cryptocurrency exchange partnered with LCX to offer a fiat-to-crypto exchange in Lichtenstein.
Per his words, the employees receiving their salaries in the BNB token are “smart people,” which presumably means Arrington himself is bullish on the cryptocurrency, and on Binance itself, as BNB’s success is tied to it.
The BNB token was originally distributed in Binance’s initial coin offering (ICO). With it, holders can get significant discounts on the platform’s fees. The exchange, per its whitepaper, uses 20% of its profits to buy back tokens it destroys every quarter, until half of its 200 million supply has been bought back.
Reducing the circulating supply helps BNB’s value rise and, earlier this year, the exchange doubled referral rewards for those holding 500 or more tokens, meaning those who have enough tokens can enjoy a 40% commission on referrals.
BNBs are also set to be used on Binance’s soon to be launched decentralized exchange (DEX), and crypto lending platform Nexo has revealed it will accept them as a collateral for its loans. All of these factors combined have been helping BNB buck the bearish trend.
As covered, independent financial resource boutique Fundstrat Global Advisors launched a “Benchmark Crypto Performance” report that detailed the performance of various cryptocurrencies earlier this year. In it, Binance Coin was deemed the number one token.
Binance is currently the number one cryptocurrency exchange by trading volume, as it traded over $1 billion worth of cryptocurrency in the last 24 hours. In a subsequent tweet Arrington revealed he sees Changpeng Zhao as one of the greatest “business titans of our time.” Per his words, he’s “right up there with the best of the best.”
Per Arrington, a “long blog post” about the CEO is set to come this week. Responding to the complement, Zhao wrote:
Wow, that's a strong compliment coming from Mike, founder of TechCrunch probably seen a lot of businesses. Might be a boring article though as I am a boring guy, lol. But will definitely retweet it before I read it. https://t.co/iY917tvzG5— CZ (not giving crypto away) (@cz_binance) August 18, 2018
Binance is set to improve BNB’s liquidity for its users, by offering fiat-to-crypto pairs in a Malta-based exchange this year, while keeping Binance a pure crypto-to-crypto trading platform. At press time, BNB is trading at $9.94 after falling 3% in the last 24-hour period.