Binance CEO CZ, in his share in the past minutes, gave good news for Binance Coin (BNB) investors. CZ announced that hundreds of millions of dollars worth of BNB tokens will be burned.
The world’s largest cryptocurrency exchange, Binance, shared a happy news today for the owners of the exchange’s own token, Binance Coin (BNB). Binance CEO CZ (Changpeng Zhao) announced on his Twitter account millions of BNB tokens will be burned explained.
Zhao shared in a statement, “BNB is deflationary. If you don’t know this, you lack the basic financial knowledge that will bring you luck in this world. Sad but true. Now is the time to learn” made statements. According to the CEO’s statement BNB token worth 741 million 840 thousand 738 dollars It will be taken out of circulation ‘soon’.
Sharing of Binance CEO CZ
With CZ sharing this news, there has been an increased demand for BNB. After CZ’s share, BNB’s value rose by over 5%. over $420. BNB reached an all-time high of $ 675 on May 3, 2021, then quickly dropped to $ 260 on May 23, with a decline in parallel with the market.
What is coin burning?
The act of burning a coin/token means the permanent removal of a portion of a token from circulation in the market. If the demand remains the same as a result of this action, the value of the token increases as the supply decreases. As demand increases, the value of the token increases at a higher rate.