You may have heard about token burning. Burning is a process through which a project's total token/coin supply is reduced. But burning means setting something on fire, right? Have you ever seen any actual flames due to this burning? No. So how does burning actually work?
Burning is essentially done by sending tokens to an address that no one has access to. For EVM blockchains like Ethereum, BNB, and Base, one such burn address is:
0x0000000000000000000000000000000000000000
Burn addresses have another significance. They can help identify potential degen plays! Some meme coin-type projects send a portion of their tokens to burn addresses at the very beginning to generate marketing hype.
So, by keeping an eye on transactions to burn addresses, it may be possible to find potential 'degen play' projects.
#know
Not Financial Advice!
