Binance has introduced several updates that could impact the demand for the BNB token. Key features include the BNB auto-burn, zkBNB integration, and new custody services for institutional investors.
Scheduled BNB Auto-Burn
Binance plans a BNB auto-burn on July 30. The event will remove approximately 1.9 million BNB tokens, valued at $1.47 billion. Traders are marking their calendars and adjusting positions ahead of the deflationary adjustment.
zkBNB Performance Enhancement
BNB Chain has deployed zkBNB v2, a Layer-2 solution using zero-knowledge proofs. It can process up to 10,000 transactions per second and significantly reduces gas fees. Developers in the gaming and microtransaction sectors are expected to benefit from faster settlement and lower costs.
Institutional Custody Services on Binance Prime
Binance Prime has introduced segregated custody services for BNB. Hedge funds and DAOs can now store tokens in cold wallets with detailed audit trails. This is expected to enhance confidence among large investors for on-chain fund transfers.
These updates indicate Binance's ongoing efforts to expand the utility of BNB, which may have a positive impact on the demand and usage of the token across various sectors, including DeFi and gaming.
