Key takeaways:
- Binance has completed its 19th quarterly burn and removed over 1.8 million BNB from circulation
- The most recent BNB burn was the largest in terms of the dollar amount to date
- Binance has implemented new mechanisms in recent months to make BNB deflationary
Binance destroys $741 million in BNB in second-ever quarterly burn
Binance has completed its 19th BNB quarterly burn, which removed 1,839,786 BNB worth approximately $741 million from circulation. This was the second quarterly burn that utilized Auto-Burn, a mechanism introduced last year to improve the transparency and predictability of scheduled quarterly burns.
The most recent BNB burn was the largest in terms of dollar value to date, surpassing the previously leading January burn by roughly $12 million.
Binance’s quarterly burns are a part of the exchange’s broader strategy to make BNB deflationary and subsequently maintain a higher degree of price stability. In addition to scheduled burns, Binance has overhauled its core blockchain mechanics at the tail end of 2021 as a part of the Bruno hard fork. Last December’s implementation of BEP-95 brought fixed gas fee burning to introduce additional pressure on BNB supply. Since then, more than 72,000 BNB have been removed from circulation in so-called real-time burns, according to BNBBurn.info data.
The price of BNB has seen a 5% increase in the last 24 hours and is changing hands at $420.52 at press time. With a market cap of more than $70 billion at current market rates, BNB is currently the 4th largest cryptocurrency.
