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BNB auto-burn: Binance’s 24th quarterly burn eliminates $44.61 million worth of tokens

Binance burns 16 million BNB worth of BNB tokens; transitions from the ERC20 token version of BNB to the BEP2 token

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TL;DR

  • Binance completes its 24th quarterly burn of BNB tokens, destroying 1.99 million tokens worth $44.61 million.
  • The burn aims to reduce the overall circulating quantity of BNB tokens and increase their potential value.
  • Binance aims to reach 100,000,000 BNB tokens by implementing deflationary measures.

Binance, one of the leading cryptocurrency exchanges, has completed its 24th quarterly burn of its native BNB coins. This strategic move was executed through the BNB Automatic Burn mechanism, aimed at reducing the overall circulating quantity of BNB tokens and increasing their potential value.

The burn event witnessed the permanent destruction of 1.99 million BNB tokens, equivalent to approximately $44.61 million, at an average price of $310.99 per token.

This latest burn demonstrates Binance’s ongoing commitment to implementing deflationary measures to enhance the scarcity and value of BNB. In comparison, the previous quarter’s burn, known as the 23rd quarterly burn, eliminated 2.02 million BNB tokens at an average price of $268.46 per token.

Since the inception of the BNB burn program, a remarkable 183.14 million BNB tokens, with an estimated value of $44.61 million, have been irreversibly destroyed. This consistent effort to reduce the circulating supply of BNB tokens is part of Binance’s long-term objective to reach 100,000,000 BNB tokens.

Looking ahead, Binance has plans for the 25th quarterly burn, which is anticipated to witness the destruction of at least 2 million BNB tokens. Based on the current market price, this would amount to a minimum value of $512 million. However, it is crucial to note that the number of tokens destroyed may vary due to the fluctuating circulating supply of BNB.

BNB is currently priced at $241.70, reflecting a slight decrease of 0.05% compared to the previous day. Despite this marginal dip, the consistent quarterly burns have maintained a positive trajectory for BNB’s value in the long run.

Binance’s commitment to limiting the circulating quantity of BNB tokens has received positive feedback from the cryptocurrency community. By actively reducing supply and increasing scarcity, Binance aims to create a token ecosystem that incentivizes long-term holding and supports the growth and stability of BNB as a digital asset.

Furthermore, Binance’s burn events have drawn attention to the deflationary nature of cryptocurrencies, with other projects exploring similar mechanisms to enhance token value. The quarterly burns not only provide economic benefits but also serve as an indicator of Binance’s dedication to transparency and its ongoing efforts to create a sustainable and thriving crypto ecosystem.

With the 24th quarterly burn successfully executed, Binance continues to set an example for the industry, showcasing the potential of strategic token burns in shaping the future of cryptocurrencies.

As the 25th quarterly burn approaches, market participants eagerly anticipate the next milestone in Binance’s journey toward reducing the circulating supply of BNB tokens and solidifying their value in the ever-evolving world of digital assets.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

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Mutuma Maxwell

Maxwell especially enjoys penning pieces about blockchain and cryptocurrency. He started his venture into blogging in 2020, later focusing on the world of cryptocurrencies. His life's work is to introduce the concept of decentralization to people worldwide.

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