Published: 19.04.2022
Article reading time:
2 minutes.
The BNB network is conducting a new burning of its own tokens using an automatic algorithm to reach the goal of 100 million BNB retired from circulation.
This is the second BNB burn since the beginning of 2022, calculated according to the new automatic algorithm. The mechanism adjusts the amount of BNB destroyed based on the price and number of blocks generated on the BNB smart chain (BSC) in a quarter.
BNB Chain is expected to burn more than 1.8 million Binance coins (BNB) worth about $742 million. According to the tracker, the burn will be conducted at an average price of $403 per BNB token.
Binance CEO Changpeng Zhao reminded to all members of the crypto community that regular burning of tokens implements a deflationary model and increases the value of BNB.
$741,840,738 worth of #BNB will be taken out of circulation soon.
Real time info: https://t.co/BikWciOHY7#BNB is deflationary. If you don’t know what that means, you lack basic financial knowledge to get lucky in this world. Harsh but true. Time to learn.
— CZ Binance (@cz_binance) April 19, 2022
Since the launch of BNB in 2017, Binance has committed to withdrawing 100 million BNB from circulation, or half of the total token supply. It is expected that the next burn will take place after summing up the results of the second quarter and will amount to approximately 1.8 million BNB, worth about $760 million.
The other day, the Thai energy company Gulf Energy invested in the US division of the Binance cryptocurrency exchange in order to enter the digital currency market.
Source: Bits
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