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Cryptocurrency Exchange Binance burns BNB worth of $390 Million

Cryptocurrency Exchange Binance burns BNB worth of $390 Million

The cryptocurrency market is a mix of hundreds of cryptocurrencies. Each of this cryptocurrency differs in prices, features, projects, and several other aspects. There are tonnes of reliable and user-favorite crypto projects that promise a rather stable growth to the consumers. Even though they also carry a significant risk but they are still more dependable than several other tokens.

The Binance Coin (BNB) is also one such cryptocurrency that has attracted investors and traders from all the world. These investors eye its potential to break through in the list of the top most valued cryptocurrencies in the market. The project is run by the renowned cryptocurrency exchange, Binance. The association of Binance with BNB gives more surety to the users of the reliability of this project. BNB has been fairing quite well in the market in recent times. It touched an all-time high of almost $700, a few months back. However, as the market is following a bearish it, BNB is also down below the $300 mark. Currently, BNB is valued at around $270.

Burning of BNB coins

In a recent development, Binance has moved forward with the annual burn of its BNB coins. It was its 16th quarterly burn, as over $390m worth of BNB were burned by the exchange. It implies that BNB made $2 billion in profits since April. This burning process is one of the most important practice for the coin, as well as Binance itself. It replicates the core value of the project and keeps the project strong.

The founder of Binance announced in a tweet that over 1.2 million BNB coins have been burned. He also added that Binance is sticking to its schedule proposed in the white paper of the coin. CEO Zhao also reassured the users that the Binance team has never and will never use any team BNB coins.

Binance had promised in its white paper that it would 20% of its quarterly profits. Therefore, around $390 million worth of tokens were burnt this time around. Normally, the news of any coin’s burning impact the performance of the coin in the market. However, despite the burning of 1.2 million coins, there was no such reaction observed in the market.

Nonetheless, Binance continues to stick to its values which is a positive sign for the coin. It will eventually help those who are holding the coin for good. Also, these burns show that the coin and the exchange are doing well in recent times, and increase the reliability of the whole project.

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