$BOB chooses to implement LP Burn and not Token Burn. What is the difference between Token Burn and LP Burn?
With LP Burn, $BOB burn the LP token from adding liquidity to the DEX. This means BOB liquidity in the pool will be permanently locked and cannot be withdrawn by the developer. The impact is that holders feel safer because the risk of a rugpull does not exist, since after adding liquidity the developer has also performed Renounce Ownership. BOB will always have a trading pair, so transactions can continue because no one can remove the liquidity pool.
On the other hand, BOB does not perform Token Burn because the token’s smart contract does not have a mint function or a burn function. This means the total supply of BOB tokens neither decreases nor increases. BOB price is not driven by deflationary mechanics, but purely depends on market demand. Once again, BOB implements LP Burn, not Token Burn. So you must be able to distinguish between the two.
BOB strategy is to emphasize security and holder trust by locking liquidity through LP Burn. However, unlike tokens that rely on Token Burn to create scarcity, BOB does not use that method. The value of BOB is determined more by adoption and market activity, not by supply reduction.
Therefore, everything applied here is based on smart contract logic and should not be equated with human logic. Smartcontract logic, once deployed, cannot be reversed. Human logic, after signing a contract, can still be canceled through certain mechanisms. If you have knowledge of coding in the Solidity programming language, you will understand how this logic works. If you do not have such knowledge, then you can go search on Google by asking how smart contract logic works when implementing LP Burn.
