BNB Chain has successfully carried out its 31st quarterly burn, removing 1.57 million BNB from circulation. The 'burn' resulted in an elimination of about $916 million worth of tokens.
BNB Chain, the blockchain network developed by Binance, has successfully completed its 31st quarterly token burn, removing 1.57 million BNB from circulation. The ‘burn’ resulted in an elimination of about $916 million worth of tokens.
The Binance Chain network completed the latest token burn through the Auto-Burn system, sending the tokens to an unrecoverable address, making them permanently removed. Former Binance CEO Changpeng Zhao, CZ, confirmed the update with a short message on X, stating the exact amount of tokens that were burnt.
The burn system, which was introduced through BEP95 in late 2021, sets up an automatic system to destroy tokens. This new automated method replaces the old manual method done every three months. It helps make the process of reduction steady and easy to track. Basically, the BEP95 adjusts the burn amount every quarter based on price and block activity.
The regular burning helps support the token’s worth and long-term plans of the network. On January 23, over 1.6 million tokens were removed by sending them to dead wallets. This move is part of a plan to slowly lower the number of coins, aiming to boost their worth over time.
However, despite the burning activity, the price of BNB has dropped slightly in recent days. According to data from CoinGecko, BNB is currently trading at $583, down 1.06% over the last 24 hours.
Experts say that despite the small drop in price, the steady reduction and strong project base will help the chain in the future.
Right now, over 40 million coins are still set to be burned from the total amount of about 139 million. Each burn reduces the amount of coins in the market, making them more valuable if people keep wanting to buy. This recent burn shows BNB’s continued plan to grow by making the coin harder to get.
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