Wrapped BNB (WBNB)

Wrapped BNB (WBNB) is a token representing BNB, the native coin of the BNB Chain, in a format compatible with smart contracts. Originally created by the crypto company Binance, the BNB Chain is a public blockchain used to pay transaction fees and power applications. While BNB serves as the network's primary coin, it does not follow the standard BEP-20 rulebook required by most decentralized applications. Wrapped BNB solves this by locking one BNB in a smart contract to issue one WBNB in return. This wrapped version adheres to the BEP-20 standard, allowing it to integrate seamlessly with exchanges, lending platforms, and other apps built for standard tokens. First appearing in market data in 2022, WBNB functions as a bridge, enabling users to utilize their native assets within the broader ecosystem without losing access to the underlying value held in the smart contract.

Key Characteristics

• Token Standard: BEP-20 compliant
• Backing: 1:1 ratio with locked BNB
• Use Case: Facilitates interaction with BEP-20 applications
• Network: BNB Chain