Binance, the biggest crypto exchange in the world, has completed the eight quarterly “burn” of Binance coin (BNB) tokens. Furthermore, Binance revealed plans to relinquish the BNB tokens owned by its core team.
In a blogpost on Friday, Binance announced that is has completed its 8th quarterly BNB token burn of 808,888 BNB (roughly $23.8 MM USD equivalent). In addition, Binance announced that it will also destroy all BNB tokens that are currently in the possession of the core team at Binance.
The number of Binance Coin tokens that are allocated to the Binance core team, currently equates to 40% of the total BNB supply — 80,000,000 BNB, with a total worth of about $2,400,000,000.
“Starting with this burn, Binance will relinquish the BNB tokens allocated to the Binance team and contribute this BNB towards our commitment to burning a total of 100 million BNB.”
According to the Binance whitepaper, the eventual total supply of BNB will be 100,000,000 BNB. Today, however, the current total supply of BNB is 189,000,000 BNB, which means that 89,000,000 BNB still needs to be burned.
Binance said about the plans to burn tokens owned by the core team:
“The team will burn off the 80,000,000 BNB team allocation first, and the remaining 9,000,000 BNB will be burned byexchange.”
A so-called “token burn” is the burning or destroying of certain tokens. By burning tokens, this reduces the number of tokens in circulation, which logically increases the value of the cryptocurrency that is being burned.
With the token burn of the BNB by the core team, Changpeng Zhao, the Founder of Binance, wants to show the world that they are not in the crypto space for the money. CZ wrote in the blogpost:
“The token burn shows that the Binance team is not money-driven. We are here on a mission. Let’s work together to increase the freedom of money.”