Crypto Ahmet
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😱🔥BNB Chain Massively Burns $916 Million Worth of BNB Tokens❗🤯🔥💵
#BNBChain , the Binance backed blockchain network, has burned 1.579 million #BNB tokens – worth $916 million in a latest transaction. The move aligns with $BNB Foundation’s quarterly burning program, aimed to control the inflation and token supply in the ecosystem.
As per the official announcement, this was 31st quarterly burn program and it removed a sum of 1,579,207 BNB from the circulating supply, valued $916.07 million at the time of burning.
The current BNB supply stands at 139.31 million and the team aims to reduce this number to 100 million by systematically burning tokens every quarter.
“The burn amount is adjusted based on BNB’s price and the number of blocks generated on BSC during a quarter, ensuring transparency and predictability,” said the team.
Burning is a strategic process of removing excessive token supply from the market and sending it to the address “0x00…00dEaD” which is known as the “blackhole” address. Once any token sent to this address, it can never be recovered and is not accounted for any future scope.
BNB Chain will continue burning tokens on a quarter basis until their target of reducing token supply to 100 million is achieved. At the time, 40.88 million still remains to be burned. Besides, BNB Chain also burns a portion of BNB from gas fees regularly.
Why BNB Price Remains Unfazed?
Despite the significant burn, the price of BNB has remained unfazed and it has not shown any notable move. It is often found that when any token burn event takes place, the market price of the respective crypto asset rises in response. Given that nearly $1 billion of tokens are removed from the BNB supply, investors are expecting its price to have a decent surge in reaction.
Although benefits of such token burning programs are found in the long-term. Historically, it has been seen that burning has helped crypto projects in controlling token inflation and streamline growth of the ecosystem. So this latest burning will help the BNB chain move towards becoming more efficient rather than giving quick spikes to BNB price.
#BitcoinWithTariffs #WCTonBinance #Binance
As per the official announcement, this was 31st quarterly burn program and it removed a sum of 1,579,207 BNB from the circulating supply, valued $916.07 million at the time of burning.
The current BNB supply stands at 139.31 million and the team aims to reduce this number to 100 million by systematically burning tokens every quarter.
“The burn amount is adjusted based on BNB’s price and the number of blocks generated on BSC during a quarter, ensuring transparency and predictability,” said the team.
Burning is a strategic process of removing excessive token supply from the market and sending it to the address “0x00…00dEaD” which is known as the “blackhole” address. Once any token sent to this address, it can never be recovered and is not accounted for any future scope.
BNB Chain will continue burning tokens on a quarter basis until their target of reducing token supply to 100 million is achieved. At the time, 40.88 million still remains to be burned. Besides, BNB Chain also burns a portion of BNB from gas fees regularly.
Why BNB Price Remains Unfazed?
Despite the significant burn, the price of BNB has remained unfazed and it has not shown any notable move. It is often found that when any token burn event takes place, the market price of the respective crypto asset rises in response. Given that nearly $1 billion of tokens are removed from the BNB supply, investors are expecting its price to have a decent surge in reaction.
Although benefits of such token burning programs are found in the long-term. Historically, it has been seen that burning has helped crypto projects in controlling token inflation and streamline growth of the ecosystem. So this latest burning will help the BNB chain move towards becoming more efficient rather than giving quick spikes to BNB price.
#BitcoinWithTariffs #WCTonBinance #Binance
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