Binance Exchange Completes a $400M Quarterly BNB Token Burn

Binance continues to burn BNB, successfully completing their 16th burning of BNB tokens to date.

By
John Tunney
on
July 19, 2021
Category:
BSC News

Burning More BNB  

Binance has burned more BNB in an effort to maintain its value. On July 18th, the Binance exchange announced that they had successfully burned 1,296,728 BNB tokens. This amount of burned tokens equates to $393,673,653 USD at the time of burning. 

A token burn refers to tokens in a circulating supply being ‘bought’ back by the issuer and then being removed from the supply. Token burns ensure that the value of tokens is not as heavily affected by inflation.

Source

This is the 16th BNB burn to be completed. More than 29 million BNB tokens have been burned so far since the burning of BNB tokens began. Some Binance skeptics have issued their concerns that although 1.2 million BNB tokens were successfully burned, 16 million more BNB tokens were released. 

CZ Explains the Burn

Chenpeng Zhao, the CEO of Binance, has reiterated that so far tokens sent to a team address have only been burned, never used or sold. Burning the tokens shrinks the circulating token supply thus supporting the BNB token’s long term valuation and price stability. 

The transaction hash for the 16th BNB token burn is on the Binance website.

What is Binance (BNB)?

Binance is the world's largest online centralized finance exchange platform where users can trade crypto currency. The platform offers a wide range of options for cryptocurrencies to invest in, including all the most popularly traded coins. Binance also provides a crypto wallet for its traders, where users can store, send and receive their electronic funds. The Binance platform has its own coin, BNB, which users can buy, sell and hold.

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John Tunney

John Tunney is an accomplished analyst and crypto enthusiast. The UCLA alum has been actively reporting and blogging for 3 years, and has a passion for all things finance.

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