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Breaking: Binance Burns Over 2 Million BNB Tokens, Massive Rally Next?

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The world’s largest crypto exchange Binance burned 2,020,132.25 BNB tokens in the 23rd quarterly BNB token burn mechanism, the exchange said on Tuesday. Binance aims to reduce its circulating supply to 100,000,000 BNB through its BNB Auto-Burn procedure. Traders didn’t immediately respond to the latest burn by Binance.

Binance Completes 23rd BNB Token Quarterly Burn

According to the official announcement on April 14, Binance revealed burning 2,020,132.25 BNB tokens in the 23rd quarterly BNB token burn through the BNB Auto-Burn procedure. The latest BNB quarterly burn also includes 656.0230123 BNB burned through the Pioneer Burn Program.

The transaction data revealed that Binance burned nearly over 2 million BNB tokens worth around $676 million at around 08:00 AM UTC. Thus, Binance has removed over 2 million BNB from the circulating supply. Currently, the BNB token’s circulating supply is 155,851,695 BNB.

With the latest BNB burn, Binance has burned 46.148 million BNB tokens in total to date. The exchange uses an Auto-Burn system to reduce the total circulating supply to 100,000,000 BNB. The mechanism calculates the amount of BNB to be burned based on the BNB price and the number of blocks generated on the BNB Smart Chain (BSC) during the quarter.

According to the BNB burn portal, the estimated value of the next burn is 2,009,639.84 BNB. However, the current data suggest that the number of BNB tokens is likely to increase in the 24th quarterly BNB token burn.

On January 17, Binance burned 2,064,494.32 BNB tokens worth $620 million in the 22nd quarterly BNB burn. The estimated 23rd quarterly BNB token burn at that time was 2,070,356.52 BNB.

Is BNB Price Rally Coming Next?

Typically, quarterly BNB token burn by Binance is generally followed by an increase in the BNB price. However, the BNB price fell slightly after the burn, giving up earlier gains.

BNB price soared 4% in the last 24 hours, with the price currently trading at $333. The 24-hour low and high are $321 and $335, respectively. The upside momentum is supported by a 40% increase in trading volume in the last 24 hours.

Also Read: Shib Burn Rate Spikes 30,000% As 1.5B Shiba Inu Burned In Single Transaction

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Varinder Singh

Varinder has over 10 years of experience and is known as a seasoned leader for his involvement in the fintech sector. With over 5 years dedicated to blockchain, crypto, and Web3 developments, he has experienced two Bitcoin halving events making him key opinion leader in the space. At CoinGape Media, Varinder leads the editorial decisions, spearheading the news team to cover latest updates, markets trends and developments within the crypto industry. The company was recognized as Best Crypto Media Company 2024 for high impact and quality reporting. Being a Master of Technology degree holder, analytics thinker, technology enthusiast, Varinder has shared his knowledge of disruptive technologies in over 5000+ news, articles, and papers.

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