Binance Coin (CRYPTO: BNB) launched an automatic burn feature that will establish itself as a long-standing deflationary mechanism for the asset.
What Happened: Binance announced that its Binance Coin will now be burned automatically instead of relying on the quarterly burns it has employed so far.
The exchange planned to spend part of its revenue to buy back half of the coin’s initial supply of 200 million BNB to permanently destroy it in a so-called burn mechanism. At the time of the latest burn performed in October, the total of burned BNB reached 1,335,888 BNB, equivalent to just under $730 million as of press time.
See Also: BINANCE COIN PRICE PREDICTION
With the auto-burn feature replacing the quarterly burn, BNB will be burned automatically based on a formula consisting of on-chain data of total blocks generated and the average price of BNB.
Binance Coin Price Action: At publication Thursday afternoon, Binance Coin is trading at $549.24 after seeing its price increase by about 1.73% over the last 24 hours.