Binance is the world’s largest cryptocurrency exchange by market capitalization. Even in the face of some regulatory challenges, cryptocurrency exchanges have been gaining popularity in recent months.
This was the one that was the most talked about at the time.
Binance announced in December 2021 that it would soon replace its current quarterly burn process with an Auto-Burn methodology.To promote “transparency and predictability” in this process was the goal of its design.
The auto-burn mechanism initially burned Binance BNB tokens in the third quarter of this year. The Auto-Burn mechanism resulted in the destruction of over 1.6 million BNB tokens worth a total of $750 million.
During the most recent quarter, people used an additional 6,296.305493 BNB. Following the tweet, its combustion was successful with the help of the Pioneer Burn Program.
Alternative Route
The cryptocurrency exchange Binance has been withdrawing BNB tokens every quarter in accordance with its quarterly income until this month. As a result, the exchange has developed a new technique known as BNB Auto-Burn, which stands for “BNB Automatic Burn.”
Using the BNB Auto-Burn methodology determined the number of tokens removed from circulation based on the current price of BNB. This value reflects the balance between supply and demand, as well as the quantity of blocks made during that quarter.
The BNB Auto-Burn, according to a co-founder and CEO of Binance, is a logical next step in the company’s development. The BNB community will gain from greater independence, transparency, and predictability.
Binance began burning BNB coins shortly after the cryptocurrency’s introduction in 2017. At the time, a total of 100 million BNB, half of the company’s total supply.
As of today, the exchange has burned a total of 35 million tokens. This exchange is the largest single token burn in history.
