Binance announced that it had completed its 17th annual token burn. 1,335,888 BNB tokens worth ($635,442,868) were destroyed.
The biggest BNB burn ever
So, Binance announced Monday that it has destroyed nearly 1.4 million BNB tokens (worth about 635 million. That means it’s the biggest token burn ever.
A token burn refers to the process of permanently removing a crypto token from circulation, reducing its supply and increasing its price. When Binance launched the BNB token in 2017, it promised to destroy a total of 100 million BNB, i.e. 50% of its total supply.
According to data from The Block Research, the company has burned 16.60% of its BNB supply so far. Binance destroys x number of BNB tokens each quarter based on the trading volumes of the previous quarter.
Regulatory Issues
Binance has been having issues with regulators of various countries for some time now. The world’s largest exchange is now trying to solve this problem. The Changpeng Zhao stated that Binance welcomes the regulation and stated what steps are being taken to comply with the regulation. He said:
“We are working on a number of fronts to embrace regulation in the blockchain and crypto world. The most important thing is hiring people. People remain the most important success factor. In recent months we have hired many ex-regulators. They join our team, understand what we do, analyze any gaps and work with us on improvements. They can also communicate in a language that their colleagues understand. Moreover, they bring credibility and trust.”
He further stated:
“We have recruited key compliance advisors, including Max Baucus, former United States Senator and Ambassador to China. Mark McGinness, former head of international relations at the Dubai Financial Services Authority (DFSA), as Chief Regulatory Liaison Officer. Greg Monahan, as Global Money Laundering Reporting Officer. Rick McDonell and Josée Nadeau, former FATF executive secretary and head of the Canadian delegation, respectively, as regulatory and compliance officers. Aron Akbiyikian and Nils Andersen-Röed as Directors of Audit and Research. Zane Wong as Director of KYC Compliance. Tigran Gambaryan and Matthew Price, former IRS-CI Special Agents and current VP of Global Intelligence and Investigations and Senior Director of Investigations at Binance, respectively.”
Binance Making Progress
Binance CEO also highlighted the progress made in the UK and South Africa, stating:
“A lot of regulatory progress has been made in the past 3 months. While we cannot share private communications related to regulators, we can demonstrate our progress with some public information. The FCA issued a consumer warning to Binance on June 25, 2021. Exactly two months later, on August 25, the FCA updated the warning to read, “The company met all aspects of the requirements.”
He further stated:
“Another example of the positive steps we have taken in our partnership with regulators was our productive dialogue with the Financial Sector Conduct Authority in South Africa (FCSA). They stated very clearly that they “applauded” the steps we have taken to address their concerns. We continue to look forward to continuing to work with them on future initiatives.”
Binance’s BNB is currently valued at $489. This is an increase of 3.70% compared to yesterday.
