BNB Chain executes 29th quarterly burn of $1.07 billion worth of BNB tokens

BNB Chain recently completed its 29th quarterly BNB token burn, effectively removing over 1.77 million BNB from circulation. This was worth approximately $1.07 billion at the time of incineration. This significant token reduction event was announced by the BNB Foundation, and represents another step in the BNB Chain’s ongoing efforts to manage token supply.

29th BNB Burn Details

The recent incineration involved two main components: Automatic burn of 1,710,142.733 BNB and additional 62,569.63 BNB for BTokens. These BTokens were initially lost by Binance Smart Chain (BSC) users when they were sent to inactive addresses, but were later redeemed through the Pioneer Burn program. BNB that was mistakenly excluded from the previous burn was included in this quarter’s burn, for a total of 1,772,712.363 BNB.

Transaction details for this burn can be found on the BSC network. Meanwhile, the remaining supply of BNB is over 144 million, and we plan to continue reducing this number through future burns to the target of 100 million BNB.

BNB’s role in the ecosystem

BNB serves as the native coin of the BNB Chain ecosystem, playing an important role in the Web3 environment by facilitating transactions across the BNB Smart Chain, opBNB Layer 2 solution, and BNB Greenfield blockchain. In addition to transaction fees, BNB holders can participate in decentralized governance and influence decisions within the BNB chain.

Since its mainnet launch in April 2019, BNB has transitioned from the Ethereum network to its own chain, implementing a “build and build” mentality that encourages ecosystem development. The automatic burn system integrated into BNB adjusts the burn amount based on the BNB price and number of blocks created, ensuring transparent and predictable token supply reduction.

Mechanism supporting BNB burning

The BNB auto-burn mechanism is an independently auditable process that operates on a quarterly basis separate from Binance’s central exchange. This quarter’s burn was performed directly on the BSC due to the ongoing BNB chain fusion, where BNB was sent to a “black hole” address to permanently remove it from circulation.

In addition to automatic burning, BNB uses a real-time burning mechanism based on gas fees, where BSC validators decide which portion of the gas fee to burn. Since the introduction of BEP95, this mechanism has burned approximately 242,000 BNB.

The Pioneer Burn Program further supports BNB users by recovering BNB and pegged tokens lost due to mistakes and incorporating them into quarterly burn events.

For more information, please refer to the official announcement on the BNB Chain website.

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