|To add to what Phill said, formatting is the preparation fo a storage medium to receives files. Thi sincludes anything from a floppy disk a hard disk,or a n SD Card in a card reader. Some CD/DVDs need to be formatted before they can be used depending on how you intend to use them.|
Formatting sets up the file system, whether that be FAT, FAT32 or NTFS depending of the medium and its size.
Once the medium has been formatted you can then start copy files to it, like this .bin file, or in the case of a hard disk, install the the operating system. .bin just means that is it a binary file with just binary data in it. It is not text a text file (.txt) or and executable file (.exe) or any other kind of file. You need a specific .bin file, Just any old .bin file wont do.