20,000 Binance Coin (BNB) Burned Since BEP-95 Upgrade

Just like ETH, BNB, the native coin of Binance is now burned with every transaction after the BEP-95 upgrade.

The BEP-95 upgrade was launched on Nov, 30th. With this upgrade, a new real-time burning mechanism of BNB was introduced as a result a fixed ratio of the BNB gas fee collected by the validators is burned in each block.

Since the BEP-95 real-time burning upgrade 20,000 BNB worth above $11M has been burned.

20,000 #BNB ($11,306,850) has been burned since the BEP-95 real-time burning upgrade ❤️‍?

— BurnBNB (@BurnBNB) December 27, 2021

The continuous burning of tokens makes them deflationary. Currently, ETH is leading as a deflationary asset, there were a number of days after ETH fees burning upgrade (EIP-1559), where more ETH was burned than mined.

To make BNB deflationary, Binance has switched from quarterly burning to EIP-1559 (BNB Auto-Burn upgrade). As a result of this switching from now onwards, the quarterly burning of BNB will not take place anymore. Till today Binance has conducted 17 BNB quarterly burns. In the 17th burn, 1,335,888 BNB, approximately worth $639,462,868 USD were destroyed making it the largest BNB burn ever.

Switching to BNB Auto-Burn, the world top exchange writes:

“Going forward, the quarterly burn will be replaced with BNB Auto-Burn to provide greater transparency and predictability to the BNB Community. BNB Auto-Burn will be both objective and verifiable, independent of revenues generated on the Binance CEX through the use of BNB, and will be automatically adjusted in that the burn amount will be based on the price of BNB, which, in turn, reflects the supply and demand for BNB, as well as the number of blocks produced during a quarter calculated on the basis of on-chain information.”