Everything You Need to Know About the 23rd BNB Quarterly Destruction

04/14/2023 07:46 • Metaverse Matters • 135 views

On April 14th, according to the BNB automatic destruction mechanism, the 23rd BNB quarterly destruction has been completed. A total of 2020132.25 BNBs were destroyed this time, including an additional 656.0230123 BNBs destroyed in the BNB anti black hole program.

Binance completed the 23rd BNB quarterly destruction, with a total of approximately 2.02 million BNBs destroyed

Introduction

On April 14th, the 23rd Binance Coin (BNB) quarterly destruction took place, according to the BNB automatic destruction mechanism. A total of 2020132.25 BNBs were destroyed, including an additional 656.0230123 BNBs destroyed in the BNB anti-black hole program. If you’re a BNB holder or are interested in cryptocurrency, you may be wondering what this means and why it matters.

What is BNB?

Before we dive into the specifics of the 23rd BNB quarterly destruction, let’s first take a look at what BNB actually is. Binance Coin is the cryptocurrency token issued by Binance, one of the world’s largest cryptocurrency exchanges. It was launched in 2017 and is designed to be used for transaction fees on the Binance platform, as well as for a range of other purposes, including paying for travel expenses and buying virtual gifts.

What is the BNB Quarterly Destruction?

Every quarter, Binance uses 20% of its profits to buy back BNB tokens from the market and destroy them, until 50% of the total supply is destroyed. This is known as the BNB quarterly destruction, and it’s designed to increase the value of the remaining BNB tokens.

How Does the BNB Anti-Black Hole Program Work?

The BNB anti-black hole program was launched in 2019, with the goal of preventing BNB tokens from being stuck in addresses that no longer exist. When someone sends BNB to an address that doesn’t exist, the tokens can become impossible to access, effectively creating a black hole. The anti-black hole program destroys these tokens in order to prevent them from flooding the market and reducing the value of other BNB tokens.

Why Does the BNB Quarterly Destruction Matter?

The quarterly destruction is important because it reduces the total supply of BNB tokens, which can increase the value of the tokens that remain. This is due to the basic economic principle of supply and demand – when the supply of a commodity decreases, but the demand remains the same, the value of that commodity tends to increase.

Conclusion

If you’re a BNB holder or are interested in the cryptocurrency market, the 23rd BNB quarterly destruction is an important event to take note of. By destroying a significant number of tokens and preventing them from becoming trapped in black holes, Binance is taking steps to increase the value of the remaining tokens.

FAQs

1. What is the purpose of the Binance Coin?
The Binance Coin is used for transaction fees on the Binance platform, as well as for a range of other purposes, including paying for travel expenses and buying virtual gifts.
2. Why does Binance destroy BNB tokens every quarter?
Binance destroys BNB tokens every quarter to decrease the total supply and potentially increase the value of the remaining tokens.
3. What does the BNB anti-black hole program do?
The BNB anti-black hole program destroys BNB tokens that become trapped in addresses that no longer exist, preventing them from flooding the market and reducing the value of other BNB tokens.

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