- Binance has set the record for the largest token burn in history after burning $595,314,380 worth of BNB in Q1.
- In that time, Binance Coin (BNB) has by far outperformed Bitcoin and Ethereum, the only two digital assets with a higher market cap.
Binance has in the last couple of hours burnt 1,099,888 Binance Coins (BNB). This is a record for the highest burn in its dollars equivalent as it translates to a $595,314,380 wipeout. The token burn has continued to be one of the events that have set BNB apart and fueled investor interest in the deflationary currency.
BNB was already enjoying one of its best quarters. In 3 months, the altcoin has soared from $38 to an all-time high of $638 reached earlier in the week. Since its launch four years ago for just under $0.01, the altcoin has roughly gained 529,450%. The token has hugely gained from the high cryptocurrency interest that has not only boosted its demand as an investment option but also seen it become popular for trading on Binance. Primarily, the digital token was designed for transactions, helping Binance customers get discounts and incur lower transaction costs, but has since evolved to represent different projects and purposes.
As confirmed by Changpeng Zhao, commonly referred to as CZ, much of this success has stemmed from Binance Smart Chain (BSC) dominance in the blockchain industry. BSC has thrived as an Ethereum competitor in the decentralized finance market. A quick look at the biggest DeFi platform on the BSC and the Ethereum network, BSC has come out on top with a higher total value locked. BSC has taken advantage of Ethereum’s failure to solve scalability and high gas fees to attract new developers and investors.
See Also
Crypto Market Gets A Lift From Hedera (HBAR) and Binance (BNB), Orbeon Protocol (ORBN) Emerges As A Key Player With 1988% Increase During PresaleAnalyse des prix 25/08 : BTC, ETH, BNB, XRP, ADA, SOL, DOGE, DOT, MATIC, TON - La Crypto MonnaieTop 5 Crypto Performers: BTC, XEM, BSV, ETH, BNBBinance Coin (BNB): A Moeda da Maior Exchange de Criptos - Cafe CriptoBSC growth fuels BNB
Additionally, it has made it easy to lure already established participants in other Defi projects through new innovative features. However, the chain has come under some criticism that much of the total locked funds are concentrated in a few projects like PancakeSwap which holds nearly $9B according to data provided by DeBank.
CZ has in a blog post been discussing all the achievements that Binance has achieved in the last quarter. After confirming the BNB burn, the CEO largely talked about accomplishments achieved through BSC in the last quarter.
CZ confirmed that BSC reached as much as 4.9 million daily transactions. Compared to Ethereum’s all-time high, BSC had surpassed it by 300%. Again, in the last 8 months, when the market has recorded extremely high adoption, BSC recorded roughly 64 million unique addresses. This is nearly half of Ethereum’s total of 148 million. Furthermore, CZ stated that to date over 450 projects have been created on the chain. DApp wallets have also been skyrocketing in the last couple of months and while this is still dominated by the Ethereum blockchain, BSC saw an average of 105,000 daily active wallets in Q1.
Binance going public?
Other notable products that have impressed include Binance Lite, Binance Card and Binance Pay. These products have primarily been launched to boost the purchase, selling and transacting of cryptocurrencies across the world.
Since Coinbase, one of the largest exchange by traded volume and institutional interest went public, some have called on Binance to do the same. However, CZ has maintained that he has no immediate plans to list. The Binance exchange in the first quarter saw its users grow by 346% while traded volume increased by 240%.
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This article is provided for informational purposes only and is not intended as investment advice. The content does not constitute a recommendation to buy, sell, or hold any securities or financial instruments. Readers should conduct their own research and consult with financial advisors before making investment decisions. The information presented may not be current and could become outdated.
John Kiguru
John Kiguru is an accomplished editor with a strong affinity for all things blockchain and crypto. Leveraging his editorial expertise, he brings clarity and coherence to complex topics within the decentralized technology sphere. With a meticulous approach, John refines and enhances content, ensuring that each piece resonates with the audience.John earned his Bachelor's degree in Business, Management, Marketing, and Related Support Services from the University of Nairobi. His academic background enriches his ability to grasp and communicate intricate concepts within the blockchain and cryptocurrency space.Business Email: info@crypto-news-flash.com Phone: +49 160 92211628
FAQs
This quarter saw a substantial 2.14 million BNB tokens eliminated from the available supply. This is part of Binance's commitment to ensure BNB's deflationary model, thereby preserving its value over time.
How much BNB will be burned? ›
When BNB was launched in 2017, a commitment was made to remove 100 million BNB (half of its total supply) from circulation through a burning process. This ultimately will keep only 100 million BNB in circulation. This commitment is automatically honored each quarter and calculated according to the Auto-Burn formula.
Is BSC controlled by Binance? ›
After operating for a while on Ethereum blockchain, Binance decided to venture on its own path and launched its own chain, the Binance Smart Chain (BSC).
Why is BNB raising? ›
BNB price surge may have been partly influenced by overall market gains. However, there are other factors fueling BNB recent price increase. BNB's rally has been supported by increased activity on the BNB Chain, the blockchain underpinning Binance's ecosystem.
What happens when BNB is burned? ›
When BNB was launched in 2017, a commitment was made to remove 100 million BNB (half of its total supply) from circulation through a burning process. This ultimately will keep only 100 million BNB in circulation. This commitment is automatically honored each quarter and calculated according to the Auto-Burn formula.
How does BNB burn work? ›
Quarterly Auto Burns: Binance burns a portion of the BNB tokens which it earns as profits every quarter. The amount of BNB burned is determined by a formula that takes into account the number of blocks generated on Binance Smart Chain (BSC), the price of BNB, and the number of BNB tokens staked by validators.
How much will 1 BNB be worth in 2030? ›
BNB (BNB) Price Prediction 2030
| Year | Price |
|---|
| 2025 | $ 607.90 |
| 2026 | $ 638.30 |
| 2027 | $ 670.21 |
| 2030 | $ 775.85 |
1 more rowCurrently, the total market capitalization of all cryptocurrencies is around $1 trillion. For BNB to reach $10,000 per coin, the total market capitalization of all cryptocurrencies would need to be at least $100 trillion.
Can BNB reach $500? ›
Drawing insights from BNB's behavior at the beginning of 2024, cryptocurrency experts at Changelly have offered their price projection for Binance Coin for the week. During this period, it is anticipated that the coin's price may reach an average of $530.
Who controls Binance? ›
“Changpeng Zhao made Binance, the company he founded and ran as CEO, into the largest cryptocurrency exchange in the world by targeting U.S. customers, but refused to comply with U.S. law,” said Acting Assistant Attorney General Nicole M. Argentieri of the Justice Department's Criminal Division.
The Binance Smart Chain, which supports several blockchains and is compatible with the EVM, is known simply as BNB Smart Chain, still abbreviated as BSC. That said, together with BSC, the BNB chain has a dynamic ecosystem of its own.
Is there a difference between BNB and BSC? ›
The Crucial Distinction Between BSC And BNB Coin:
While BSC encompasses the broader blockchain framework, BNB specifically operates as the native token fueling the Binance ecosystem. BSC focuses on providing a fast and cost-effective environment for DApp developers, catering to their scalability needs.
Which crypto will boom in 2024? ›
Top 10 Cryptos in 2024
| Coin | Market Capitalization | Current Price |
|---|
| Solana (SOL) | $69 Billion | $154.53 |
| Ripple (XRP) | $28.4 Billion | $0.5131 |
| Dogecoin (DOGE) | $23.8 Billion | $0.1653 |
| Tron (TRX) | $10.1 Billion | $0.1152 |
6 more rowsAs per our BNB price prediction, the maximum trading price of $BNB could potentially reach $710 by the end of 2025. How high could the BNB price reach by the end of 2030? The price of the digital asset could reach a potential high of $2081 by the end of 2030.
What crypto will explode in 2024? ›
Here's our list of cryptos that will explode in 2024: Dogeverse (DOGEVERSE) – A multi-chain Doge token expected to boom in 2024. Sealana ($SEAL) – Meme token with an engaging story and a fixed presale price. WienerAI (WAI) – A prime meme coin contender for explosive growth in 2024.
Why does Binance burn tokens? ›
The point of coin burning is to regulate the cryptocurrency's total supply in circulation. By decreasing the supply, it creates scarcity, a basic economic principle that can often lead to an increase in the perceived value of the remaining coins.
What is the controversy with Binance? ›
The U.S. Department of Justice has been controversial for only imposing a light fine on Binance founder for alleged anti-money laundering violations. Changpeng Zhao, CEO of cryptocurrency exchange giant Binance, left court this week with a sentence that many viewed as a light punishment.
Why did Binance get banned? ›
In January, Binance was among nine offshore cryptocurrency platforms to be prohibited from operating in India through web addresses and mobile applications. The government's action was in response to the platforms' failure to comply with FIU and PMLA guidelines.
Why did they ban Binance? ›
Binance disabled all its naira services on Friday after Nigerian authorities accused the company of exploitation, devaluation of the naira and money laundering. The restriction on naira services on Binance exchange held firm as of Monday.
