The BNB Foundation has announced the successful completion of the 30th quarterly BNB token burn, a significant event for the BNB Chain community. This burn has effectively removed over 1.6 million BNB tokens from circulation, with an approximate value of $1.16 billion at the time of the burn, according to BNB Chain.

Details of the Burn

The total BNB burned in this cycle amounts to 1,634,200.95 BNB. This figure includes two components: an actual burn of 1,524,200.95 BNB and an additional 110,000 BNB from the Pioneer Burn Program. The transaction ID for this significant burn can be viewed on BscScan, showcasing transparency in the process.

The Pioneer Burn Program facilitated the burn of 110,000 BNB. This program compensates BNB Beacon Chain validators who leave unrecoverable self-staked BNB, thereby contributing to the token burn. As a result, the total remaining BNB to be burned stands at 42,465,780.15 BNB, with the current total supply at 142,465,780.15 BNB.

Understanding BNB’s Role

BNB serves as the native coin for the BNB Chain ecosystem, playing a crucial role in powering transactions across the BNB Smart Chain (BSC), opBNB L2s, and the BNB Greenfield blockchain. Beyond transaction facilitation, BNB acts as a governance token, enabling holders to participate in decentralized on-chain governance. It also functions as a strategic reserve asset, crucial for the BNB Executive Total Value Locked (TVL) campaign, which aims to drive ecosystem growth.

Since its mainnet launch on April 18, 2019, BNB has transitioned from the Ethereum Network to BNB Chain, embodying the “Build and Build” philosophy. The Auto-Burn mechanism is a key feature, designed to gradually decrease the total supply to 100 million BNB, with adjustments based on BNB’s price and the number of blocks generated on BSC each quarter.

Burn Mechanisms

The BNB Auto-Burn mechanism ensures an independently auditable and objective process, separate from the Binance centralized exchange. The burn figures are reported quarterly, and the process is transparent to the community. This quarter’s burn occurred on BSC, with the corresponding BNB sent to a “blackhole” address to ensure its removal from circulation.

Additionally, BNB employs a real-time burning mechanism based on gas fees. BSC validators determine the ratio of gas fees collected in each block, which are then burned at a fixed rate. Since the implementation of BEP95, approximately 248,000 BNB have been burned through this method.

Pioneer Burn Program

The BNB Pioneer Burn Program assists users in recovering lost BNB and pegged tokens due to honest mistakes. This program covers these losses through the quarterly token burn events, adding an extra layer of security and user support within the ecosystem.

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