Crypto Exchange Binance Burns Over $575,000,000 in BNB Following Token Update

The CEO of the world’s largest crypto exchange by volume says the platform burned down $575 million worth of native assets in its latest quarterly burn.

In a new blog post, Binance CEO Changpeng Zhao said that the cryptocurrency exchange Destroyed 2,064,494 Binance Coin (BNB) in total for the 22nd overall burn event and the first quarterly burn of 2023.

Binance says it plans to conduct quarterly coin burns until it has removed a total of 100 million BNB, half of its total token supply, from circulation. The exchange says it will destroy its own utility token to reduce the supply of BNB and potentially increase its value.

The maximum supply of BNB technically rose in October after the Binance Smart Chain (BSC) Token Hub bridge hack resulted in the issuance of 2 million additional tokens.

However, Zhao says the extra supply is explained by the burns.

” [hack] We increased the maximum supply of BNB to 202 million, but 1.02 million was locked following a vote by validators in the BNB community and then burned. The rest is burned in the normal combustion process. ”

BNB is trading at $302 at the time of writing. The 4th largest crypto asset by market capitalization has risen nearly 1% over the past 24 hours and is up more than 9.6% over the past 7 days. It is down nearly 56% from its all-time high of $686 set in May 2021.

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