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HomeNewsBinance Completes 23rd Quarterly BNB Token Burn of Over 2 Million BNB

Binance Completes 23rd Quarterly BNB Token Burn of Over 2 Million BNB

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  • Binance completes 23rd quarterly BNB token burn, including 656.0230123 BNB via Pioneer Burn Program.
  • Binance implements new BNB Auto-Burn procedure for greater transparency and predictability in token burning process.

Binance has completed its 23rd quarterly BNB token burn, which includes the effective burning of 656.0230123 BNB via the Pioneer Burn Program. BNB is the native token that fuels transactions on Binance Smart Chain and is necessary for participating in the on-chain governance of the network.

Binance has introduced a new BNB Auto-Burn procedure to build a healthy blockchain ecosystem in alignment with the interests of the BNB community. The quarterly burn will be replaced with BNB Auto-Burn to provide greater transparency and predictability to the community.

The burn amount will be based on the price of BNB, the number of blocks produced during a quarter, and a constant value as a price anchor. The projected burn amount based on the new formula will be publicly available.

Two Main BNB Burn Mechanisms The current burn mechanisms for BNB include a portion of gas fees spent on Binance Smart Chain burnt in real-time and the accelerated BNB burn, where Binance burns BNB quarterly. Going forward, the quarterly burn will be replaced with the new BNB Auto-Burn procedure.

How does BNB Auto-Burn Work?

BNB Auto-Burn will be both objective and verifiable, independent of revenues generated on the Binance CEX through the use of BNB. The burn amount will be automatically adjusted based on the price of BNB, reflecting the supply and demand for BNB, and the number of blocks produced during a quarter calculated on the basis of on-chain information.

The formula for BNB Auto-Burn includes the amount of BNB to burn, the total number of blocks produced on Binance Smart Chain during the calendar quarter, an average price of BNB against the US dollar, and a constant value as a price anchor. The value of the price anchor is subject to change through a Binance Smart Chain BEP proposal and community vote.

The Next Stage of Innovation Binance is committed to the development of the blockchain ecosystem and the evolution of BNB. With the introduction of the BNB Auto-Burn, Binance is beginning the next phase in the development of BNB and Binance Smart Chain. The move cements the continuing evolution of BNB, which enhances its ability to help build the blockchain ecosystem.

The projected burn amount based on the new formula will be publicly available, providing greater transparency and predictability to the BNB community.

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Godfrey Benjamin
Godfrey Benjamin
Godfrey Benjamin is an experienced crypto journalist whose primary goal is to educate everyone about the prospects of Web 3.0. His love for crypto was sparked during his time as a former banker when he recognized the clear advantages of decentralized money over traditional payments. Business Email: info@ethnews.com Phone: +49 160 92211628
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