If you’re a cryptocurrency trader, then you’ve probably heard of the term “HODL.” But what does it mean

In the most basic sense, HODL is simply a misspelling of the word “hold.” That is, it’s a strategy whereby a trader holds onto a currency for a long period of time in order to maximize profits.

However, there’s more to it than that. The term has taken on a life of its own within the crypto community and has become something of a rallying cry for those who believe in the long-term potential of digital currencies.

It’s also worth noting that HODL is not just a strategy employed by individual traders. Many cryptocurrency exchanges, such as Binance, have adopted it as an official policy.

So, what exactly is Binance’s HODL policy

In short, the exchange’s HODL policy is designed to encourage users to hold onto their Binance coins (BNB) for an extended period of time. To that end, the exchange offers discounts on trading fees to users who maintain a certain level of BNB in their accounts.

The thinking behind this policy is that it will help to create a more stable and liquid market for BNB. In turn, this should lead to more widespread adoption of the currency and ultimately help to drive up its price.

Of course, only time will tell if this strategy pays off. However, given Binance’s track record of success, it’s certainly one worth watching closely.