The core team at BNB Chain said the network concluded its latest quarterly "auto-burn" event, effectively removing 1,991,854 BNB tokens ($480 million) from circulation. This latest auto-burn represents about 1.2% of the current circulating supply of 153.8 million BNB.
BNB Chain’s token burning events are not new. The latest one marks the 24th burn since the program’s inception in late 2017. To date, 48.14 million BNB tokens have been burned in total in these quarterly events.
Each quarter, the amount of BNB tokens to be burned is determined by an algorithm, taking into account variables such as the token’s current price and network activity. The BNB Chain also burns a portion of its real-time gas fees in a manner similar to Ethereum, but this is distinct from its quarterly auto-burn events.
BNB token's role
Created by the centralized cryptocurrency exchange, Binance, the BNB token has evolved beyond its initial purpose on the platform. It is now the native asset for the expansive BNB Chain ecosystem, which encompasses the BNB Beacon Chain, the BNB Smart Chain, and upcoming projects such as the storage network Greenfield and the Layer 2 network, opBNB.
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