Just these days I have read that BINANCE destroys $68 Million of BNB in its most expensive burn until today. Their strategy is to burn BNB tokens periodically to increase the scarcity of the token and theoretically pumping up the price. Similar to how LEO mechanism works, Binance uses the profits to buy the BNB token from the open market and then to burn them. From the 144,406,561 BNB currently in circulation they intend to reduce the supply to 100,000,000 BNB tokens which is quite a big percentage.
This last burn from Binance of 2,253,888 BNB tokens or 1.13% of the token's supply, generated a price boost of 0.20$. Its current price jumped to $30.42 after this move as reflected on CoinMarketCap. And the amount burned at market value was of $68,000,000 USD if you can imagine it.
While for sure the BNB burn rate is much higher than on LEO, it still proves that this mechanism works and it should be kept in place without coming with other bright ideas for reusing the Ads Revenue. There is place of ideas in other places, but if this works let's just let it continue and be one mechanism for keeping things in place.
Let LEO burn and increase the scarcity of the token!
Posted Using LeoFinance Beta
