Binance has successfully completed the burn of over $71.5 million dollars.
Binance has remain the top cryptocurrency exchange by trading volume, a fit it achieved in less than 7 months of operation after it founding around July 2017. The exchange is said to have the largest trading pairs and currently has offices in Hong Kong, Tokyo , London and Singapore.
Binance CEO Changpeng Zhao recently published through his linkedin page that they have successfully completed the burn of over $30 million dollar worth of binance coin for the third quarter.
According to him.,
Every quarter, we burn 20% of our profits in BNB. We just burned 2,220,314 BNB (roughly $30,000,000 USD), making our quarterly profit $150m USD. In USD terms, it is a little less than last quarter. In BNB terms, it is more. This makes sense. The older Binancians have pretty much figured this out even before today. BTC price and trading volume (as a rough overall indicator of the industry) have decreased compared to last quarter. As an exchange, we collected less in commissions in fiat terms. But because BNB price was also lower during parts of the quarter, we collected more BNB. This is the designed effect for our token economics. When the price is lower, BNB will be burned more quickly.
Following the previous burn of $1.5M for the first quarter and $40M for the second quarter totaling an amount of $71.5M worth of BNB token. Binance is gradually achieving it mission of burning 100M BNB which is half its total supply.
What is binance coin
Binance coin is an ERC20 token built on the ethereum blockchain that is mostly used within the binance ecosystem fro transaction. The coin can be utilized to pay expenses on Binance trade.. These incorporate exchanging expenses, exchange charges, posting expenses and others.
Binance gives you a major rebate(A rebate is an amount paid by way of reduction, return, or refund on what has already been paid or contributed) when charges are paid in BNB as opposed to in BTC.
In the primary year of utilization, there is a 50 % markdown on all charges, in the second year there is a 25 % rebate, in the third year there is a 12.5 % markdown, in the fourth year there is a 6.75 % rebate, and from the fifth year onwards there is no markdown. This structure is utilized as a motivating force for clients to purchase BNB and do exchanges it inside the Binance trade.
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