Cryptocurrency exchange Binance announced today that it has burned 2.2 million Binance Coins (BNB) with a total value of over $ 68 million. Binance’s quarterly burning has been the biggest dollar-based burn so far.
— Whale Alert (@whale_alert) October 17, 2020
According to Whale Alert data, Binance burned 2 million 253 thousand 21 Binance Coins (BNB) today. Binance, which tried to halve the 100 million supply of Binance Coin and burned the token at the end of each quarter, burned 3.4 million BNB last quarter. However, while the total value of those BNBs was 60.5 million dollars, the total value of these 2.2 million BNBs was 68 million dollars.
— CZ Binance (@cz_binance) October 17, 2020
It burns according to commercial activity
Binance, the largest cryptocurrency exchange in terms of trade volume, reduces the supply of its own token Binance Coin every quarter. Binance, which organized its thirteenth burn today, has burned an additional 2.2 million BNBs. The exchange claims that the amount of tokens to be burned in these transactions is determined by “trade activity on Binance’s spot, margin and futures platforms”.
In the whitepaper published for Binance Coin, it was claimed that this burning process will be determined according to Binance’s quarterly profit. However, the company decided to remove this article on the whitepaper in time.
A record amount of tokens burned
The value of tokens burned by Binance has never been as high as in this quarter. BNB, whose supply has been cut by 2.2 million today, is traded at $ 30 on stock exchanges. The company burned $ 38.8 million in BNB in October-December 2019, $ 52.5 million in January-March 2020, and $ 60.5 million in April-June 2020.