The most recent burning, held on the anniversary of the exchange, aims to increase the price of the token.
The Binance cryptocurrency exchange announced last Friday (17) its biggest coin burn of all time – taking the equivalent of $ 60.5 million in BNB out of circulation.
Such burning destroyed 3,477,388 BNB – an ERC-20 token used as an intermediary in the exchange. The twelfth quarterly burn is part of the broker’s strategy to cut its offer in half – to 100 million coins.
Another objective of this burning promoted by Binance is to increase the price of the token. In its whitepaper, Binance says that, for burning, it uses 20% of its profits to buy Binance Coin in the open market and burn them up to a maximum of 50% of its offer.
🔥 3,477,388 BNB gone forever.
🔥 $ 60.5M USD value
“I am more certain about the future of crypto than ever.” – Read @cz_binance‘s recap of the last 3 years, and plans for the future. ⬇️
– Binance (@binance) July 18, 2020
Binance’s twelfth BNB burn is the largest ever recorded, both in terms of BNB and USD values. 3,477,388 BNB are gone forever, the equivalent of $ 60.5 million.
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Impact has not yet been felt in the token price
The burning did not drive BNB’s price. For now, the value of the token is down 1.51% in the last 24 hours, according to information from CoinMarketCap. The current price of the currency is around $ 17.05.
Binance’s most recent burn occurred during the month of its third anniversary. The exchange’s CEO, Changpeng Zhao, said in his announcement that he “cannot deny a sense of pride, not so much for what the exchange has achieved, but for how hard the team has been working over the past three years to overcome a number of challenges. “
He further listed the exchange’s latest achievements in his post, noting that Binance Futures has maintained its status as one of the leading future crypto exchanges and that fiat-to-crypto channels have been optimized.
Project numbers impress
This last burn surpassed that of April, when a total equivalent of $ 52.5 million in BNB was eliminated.
BNB – formerly known as Binance Coin – ranks tenth in the ranking by market capitalization, with a total value of $ 2.6 billion. In the past 24 hours, more than $ 143 million BNB was traded on trades.
Binance’s cryptocurrency allows users to earn discounts when they trade on the exchange and can be traded / exchanged on the open market.