BNB Chain’s 37th BNB token burn removes 1.646 million BNB worth about $1 billion

$BNB Chain has completed its 37th quarterly $BNB token burn, removing approximately 1.646 million $BNB worth about $1 billion at the reference price. The event continues the network’s quarterly Auto-Burn process, which has a long-term target of reducing total supply to 100 million tokens.

The figures reported by $BNB Chain describe both the quantity removed and its reference valuation: approximately 1.646 million tokens were burned, with their dollar value calculated at the reference price.

How the quarterly $BNB token burn is calculated

Using $BNB’s price together with the total number of $BNB Smart Chain blocks generated in the quarter, the Auto-Burn mechanism calculates how much to eliminate. Both price and network block production therefore feed into the calculation for each quarterly event.

The quarterly $BNB token burn forms part of a supply-reduction mechanism whose stated goal is to bring total $BNB supply down to 100 million tokens. That figure is the long-term supply target, rather than the amount designated for any single quarterly burn.

$BNB Chain also burns a portion of gas fees through BEP-95. Alongside the quarterly Auto-Burn, this fee-based mechanism provides another route for removing $BNB from supply: part of the network’s gas fees is burned through the proposal.

Article produced with the assistance of artificial intelligence and reviewed by the editorial team.