The world’s largest cryptocurrency exchange, Binance, has withdrawn more than 1.8 million BNB tokens from circulation, ending its 19th quarterly BNB burn. Changpen Zhao, CEO of the trading platform, believes the process increases the deflationary nature of the asset.
On April 19, the company sent 1,830,382 BNB worth more than $741 million to the so-called dead wallet.
The goal of the BNB burn events is to gradually reduce the total number of tokens until the supply reaches less than 100 million tokens.
BNBs worth $741,840,738 will soon be phased out.
BNB is deflationary. If you don’t know what that means, you lack the basic financial knowledge to be fortunate in this world. Harsh but true. Time to learn.
In the following post, Zhao added that this Binance initiative is spelled out in a white paper, and so the team strives to follow the procedures every quarter.
This process is often bullish on BNB’s valuation in U.S. dollars. Like many other cryptocurrencies, BNB’s price rose to $420 on April 19, showing a daily gain of 4.5%.
The previous burn occurred in January, at which time Binance took BNB out of circulation for nearly $800 million.