Binance Burns Another $740 Million Worth Of BNB Token

Binance has burned over 1.8 million BNB tokens worth more than $740 million completing its 19th quarterly BNB burn
Binance Burns Another $740 Million Worth Of BNB Token
Binance Burns Another $740 Million Worth Of BNB Token

World’s largest cryptocurrency exchange burns another BNB token

Binance, the world’s largest cryptocurrency exchange, has burned over 1.8 million BNB tokens, completing its 19th quarterly BNB burn. Changpeng Zhao, the trading venue’s CEO, argued that the process demonstrates the asset’s deflationary nature.

BNB Chain (BNB), the native token of the world’s largest crypto exchange, burned for the 19th time on April 19.

The company transferred 1,830,382 BNB (approximately $741 million at the time of the transaction) to a wallet that can only receive tokens but cannot send any.

— (@binance) April 19, 2022

Aside from providing the community with transparency and predictability, the process is expected to have a deflationary effect. The goal of coin-burning events for BNB is to gradually reduce its total supply until it is less than 100 million tokens.

In a tweet, Changpeng Zhao (CZ), the CEO of the world’s largest cryptocurrency exchange, recently doubled down on this concept.

— CZ 🔶 Binance (@cz_binance) April 19, 2022

Zhao justified the world’s largest cryptocurrency exchange initiative in a subsequent post, stating that it is written in the whitepaper and that the team is committed to following the procedures every quarter.

It is worth noting that the process frequently has a positive impact on BNB’s USD valuation. It, like many other cryptocurrencies, is currently trading in the green, with a price of around $420. (a 4.5 percent increase for the past 24 hours).

The previous burn for the company took place in January. The world’s largest cryptocurrency exchange removed nearly $800 million in BNB from circulation at the time.

Meanwhile, data show that an estimated 1.8 million BNB will be burned in the next quarter, which is expected to occur in August. At the time of writing, BNB was trading at $419, up 4.9 percent in the previous 24 hours.