BNB Chain has recently completed its 32nd quarterly token burn, removing 1,595,599 BNB from circulation, equivalent to over 1 billion dollars. This initiative aims to reduce the total supply of BNB and strengthen the network's deflationary model.
Significant BNB Burn
BNB Chain recently executed its 32nd quarterly token burn, destroying 1,595,599 BNB. This operation is part of the network's plan to reduce the total supply of BNB and illustrates a sustainable approach to creating a deflationary model.
Details of the Burn
Currently, the total amount of BNB destroyed has exceeded 60.7 million, which represents approximately 30.35% of the total supply. At current prices, this sum is equivalent to over 14.2 billion dollars. The token burn is executed using the Auto-Burn mechanism integrated into the protocol.
Market Reaction
Despite the significant token burn of over 1 billion dollars, the market did not show substantial reaction. As of now, Binance Coin trades at around 671 dollars. Binance founder CZ remarked, "Deflationary BNB," emphasizing the importance of this phase for the token's future.
The token burn process continues to be a crucial part of BNB Chain's strategy for reducing circulating supply. The long-term implications of this process could influence the token's scarcity, which may, in turn, determine its value.
