On April 12, the Binance currency exchange alerted users about the upcoming burning of Binance Coin (BNB) coins. It should be noted that this will happen for the third time and will continue until there are 100 million BNB tokens in circulation.
By itself, Binance Coin gives owners the opportunity to reduce the commission fee for transactions, having received a discount of 50%, in the future this benefit will be reduced.
At the same time, 200 million Binance Coin coins were produced, but no re-issuance is planned, this indicates the deflationary nature of BNB, which, according to theory, should lead to an increase in the value of this coin in the future.
Earlier, Binance had already burned BNB twice at the exchange. For the first time in October last year, and the second time – in January this. In total, 2,807,586 BNB was destroyed.
When will the coins begin to burn and how will this affect the exchange rate?
The exact dates of the upcoming event are as yet unknown, as well as the volume of coins that were planned to be destroyed. Most likely this process will be started on April 15 and will be completed already on Wednesday – April 18.
It is also difficult to say how much this cryptocurrency will cost. Last time, the cost significantly “sagged,” falling from $ 23 to $ 9. But it’s not at all the fact that this time the price of the coin will behave in this way, since then there was a general fall in the market, in connection with which the BNB fell.