BNB ecosystem completes another quarterly burn, incinerating tokens worth nearly $1M

The disclosure came from the BNB Foundation, which confirmed the completion of the 30th burn in its ongoing quarterly series.

The BNB ecosystem has completed another quarterly burn of BNB tokens, incinerating tokens worth nearly $1 billion.

What Happened: The BNB Foundation has confirmed the completion of the 31st burn in its ongoing quarterly series. The team destroyed 1,579,207 BNB tokens, which are worth approximately $916 million at the current prices.

This latest effort brings the total number of BNB tokens burned to approximately 40.89 million. At the current BNB price of $581, this equates to around $23.75 billion in value removed from the BNB ecosystem.

The token now has a circulating supply of approximately 139.311 million tokens, valued at around $81 billion. This valuation ranks the token as the fifth-largest cryptocurrency and the largest exchange token by market capitalization.

The BNB ecosystem aims to reduce the total supply from its original issuance of 200 million tokens to 100 million tokens. So far, the project is nearly halfway toward this goal, with the current supply hovering around 139 million tokens.

Many community members have expressed concerns that such large sums could fund better initiatives like marketing.

This concern was recently directed to Binance founder Changpeng Zhao. He responded that the decision does not lie with him. Instead, the burn mechanism was a commitment in the BNB whitepaper. "A promise is a promise," he stated.

Why It's Important: Notably, BNB is the native token of the BNB Chain ecosystem, powering transactions across BNB Smart Chain, opBNB, and BNB Greenfield. In addition to covering gas fees, it also serves as a governance token, a reserve asset, and a critical driver of ecosystem growth.

BNB employs two token burn mechanisms to manage supply: A portion of tokens is burned automatically each quarter based on the average price of BNB in the preceding three months. All burned tokens go to a verifiable “black hole” address. Additionally, the Pioneer Burn Program assists users in recovering lost tokens through the burn process.