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$630 million surpasses Q1 record! Binance completes its 17th coin burn; CZ shares thoughts after regulatory clash

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$630 million surpasses Q1 record! Binance completes its 17th coin burn; CZ shares thoughts after regulatory clash

Binance announced the completion of its 17th quarterly token burn on 10/18, destroying over 1.33 million Binance Coin (BNB) tokens worth $630 million. This token burn ranks sixth in quantity among the 17 burns conducted so far, but it holds the record for the highest fiat value ever, even surpassing the epic bull market of the first quarter.

BNB Token Burn

Binance plans to burn BNB tokens each quarter based on 20% of profits, which has now been changed to be based on the trading volume of BNB until 50% of the total supply, approximately 100 million BNB, is removed from circulation.

17th Quarter BNB Burn

According to the official announcement from Binance and on-chain transaction records, the data related to the second quarter burn is as follows:

  • 1,335,888 BNB burned in the quarter
  • Approximately $639,462,868 USD in fiat value
  • Including 17,839 BNB burned for the "BNB Burn Black Hole Program"
  • Total BNB supply reduced from approximately 168,137,036 to 166,801,148 BNB

The "BNB Burn Black Hole Program" started in September last year to compensate users for lost BNB and pegged assets due to operational errors. In the second quarter, users lost 17,839 BNB due to sending to the wrong address, valued at approximately $8.53 million, more than five times the amount in the previous quarter.

Additionally, according to data compiled by CryptoDiffer here, the details are as follows:

  • Profit growth of 62% from the second quarter
  • Profit growth of 7.4% from the first quarter
  • Total supply reduction to date: 16.6%
  • Total fiat value: $22.2 billion USD
  • Total BNB burned: 33,199,679

CZ: Other Exchanges Are Not Competitors

Binance founder Changpeng Zhao, CZ, also wrote about the highlights and personal insights of the third quarter. Despite the growth in the third quarter, he emphasized that other exchanges are not competitors:

We do not see other exchanges as competitors. Why? Suppose our market share grows from 70% to 80%, we only grow by 10%, but if the industry grows tenfold, we may double because of it. Therefore, we always focus on industry development.

CZ also emphasized Binance's policy of "welcoming regulation and accepting regulation" and mentioned the "importance of a centralized structure":

Initially, we wanted to embrace the idea of decentralization and make it the core of our development, but this does not apply to regulatory bodies. A simple example, when regulatory bodies ask Binance, "Where is your headquarters?" and your answer is "We don't have one," you can imagine that some issues will arise.

CZ believes that the crypto industry should not remain stagnant and must build bridges with traditional finance to promote industry development. Whether decentralized or not, they are not mutually exclusive. To further cooperate with regulatory bodies, Binance is establishing a centralized entity with headquarters, proper governance, and compliance processes.