Binance, the world’s largest cryptocurrency exchange, said it has completed its 20th quarterly burn of its native token, this time removing about 2 million BNB from circulation.
Binance Burns $444 Million Worth of BNB
According to Binance, the latest burn saw the destruction of 1.96M BNB worth $444 million. The burn also included 4,181.77 BNB that was burned through the Pioneer Burn Program, an initiative introduced by the exchange to help users who have lost tokens through errors made on the BNB Chain.
After the launch of BNB in 2017, Binance promised to use part of its quarterly profits to buyback and burn 100 million BNB, amounting to 50% of the token’s circulating supply, to boost deflationary shock and increase the value of the cryptocurrency in the long run.
The 20th burn was completed via the BNB Auto-Burn initiative, which was designed in December 2021 for more transparency in the BNB community. Before the introduction of the BNB Auto-Burn, the exchange completed each burn using the quarterly burning calculation, which was based on its profits.
The Auto-Burn formula is based on the price of BNB and the level of BSC activity. Binance introduced the mechanism after listening to appeals from its community requesting the transformation of the blockchain ecosystem.
The latest BNB burn comes at a time when the crypto market is experiencing a major downturn. At the time of writing, BNB was trading at $228, about 66% down from its November high of $690.
Binance Gains Momentum With Regulators
Meanwhile, after facing backlash from global regulators in the past, Binance has been making efforts to become more compliant with regulations. Over the last year, the exchange has acquired multiple licenses in different parts of the world.
In March, Binance became one of the crypto exchanges to secure a virtual asset license from Dubai’s Virtual Asset Regulatory Authority (VARA) to operate within the Emirates ‘test-adapt-scale” virtual asset market model as a base for expansion into the region.
In May, the exchange received approval from the French Financial Service Coordinator, Autorité des marchés financiers (AMF), to operate in the country. The same month, it also became a registered entity in Italy.
Source: https://coinfomania.com/binance-burns-1-96m-bnb/#utm_source=rss&%23038;utm_medium=rss&%23038;utm_campaign=binance-burns-1-96m-bnb