New proposal aims to raise Binance Coin value by burning BSC fees


Amid the ongoing rally of Binance’s native token, Binance Coin (BNB), the developers of Binance Smart Chain (BSC) have proposed more measures to maintain the token’s deflationary model and improve its intrinsic value.According to a new Binance Evolution Protocol, BEP-95, BSC developers are considering introducing a real-time burning mechanism for a portion of gas fees to reduce BNB supply and drive BNB value higher by increasing the demand. According to the BEP, BNB holders will decide how to dispatch the BSC gas reward.Releasing the proposal on Friday, BSC developers noted that the new BEP might decrease the total amount of BNB that validators and delegators obtain from staking. The burning mechanism will be enabled by introducing governable parameters for two system smart contracts for collecting gas fees.Created by Binance in 2017, BNB is a deflationary token by design, meaning that Binance burns a percentage of the BNB supply every three months to maintain the token’s value. Binance will stop burning BNB once 50% of the initial supply has been burnt and only 100,000,000 BNB remain.The latest BNB token burn took place last Monday, with Binance burning 1,335,888 BNB ($640 million) in its 17th quarterly burn.The proposal comes amid BNB seeing a major rally recently, with the token breaking above $500 on Wednesday. At the time of writing, BNB is the third-largest cryptocurrency by market capitalization after Bitcoin (BTC) and Ether (ETH). The token is trading at $495, up around 44% over the past 30 days. BNB’s all-time high was recorded in May 2021, with the token surging to as high as $686, according to CoinGecko.Related: Ethereum miners are hoarding a record $70B in ETH following EIP-1559 activationThe latest BIP, which occurred in August, is similar to a new transaction fee mechanism implemented for Ethereum’s London upgrade. According to Etherchain, the current average ETH burn rate amounts to 3.76 ETH or $15,448 per minute.

Avatar

Related Articles

- Advertisement -

Latest Articles

bitcoin
Bitcoin (BTC) $ 16,814.96
ethereum
Ethereum (ETH) $ 1,232.39
tether
Tether (USDT) $ 1.00
bnb
BNB (BNB) $ 283.12
usd-coin
USD Coin (USDC) $ 1.00
binance-usd
Binance USD (BUSD) $ 1.00
xrp
XRP (XRP) $ 0.383576
dogecoin
Dogecoin (DOGE) $ 0.095482
cardano
Cardano (ADA) $ 0.309218
matic-network
Polygon (MATIC) $ 0.887788
polkadot
Polkadot (DOT) $ 5.29
staked-ether
Lido Staked Ether (STETH) $ 1,217.45
litecoin
Litecoin (LTC) $ 76.81
shiba-inu
Shiba Inu (SHIB) $ 0.000009
okb
OKB (OKB) $ 20.95
dai
Dai (DAI) $ 0.999970
solana
Solana (SOL) $ 13.60
tron
TRON (TRX) $ 0.053300
uniswap
Uniswap (UNI) $ 5.98
avalanche-2
Avalanche (AVAX) $ 13.18
leo-token
LEO Token (LEO) $ 3.78
wrapped-bitcoin
Wrapped Bitcoin (WBTC) $ 16,808.74
chainlink
Chainlink (LINK) $ 6.82
cosmos
Cosmos Hub (ATOM) $ 9.58
the-open-network
The Open Network (TON) $ 1.85
ethereum-classic
Ethereum Classic (ETC) $ 18.78
monero
Monero (XMR) $ 141.81
stellar
Stellar (XLM) $ 0.084460
bitcoin-cash
Bitcoin Cash (BCH) $ 109.18
quant-network
Quant (QNT) $ 115.36
crypto-com-chain
Cronos (CRO) $ 0.064324
algorand
Algorand (ALGO) $ 0.221621
filecoin
Filecoin (FIL) $ 4.34
near
NEAR Protocol (NEAR) $ 1.70
apecoin
ApeCoin (APE) $ 3.88
vechain
VeChain (VET) $ 0.018742
hedera-hashgraph
Hedera (HBAR) $ 0.047036
internet-computer
Internet Computer (ICP) $ 4.19
eos
EOS (EOS) $ 1.00
flow
Flow (FLOW) $ 1.04
elrond-erd-2
MultiversX (Elrond) (EGLD) $ 43.51
frax
Frax (FRAX) $ 1.00
trust-wallet-token
Trust Wallet (TWT) $ 2.42
terra-luna
Terra Luna Classic (LUNC) $ 0.000166
axie-infinity
Axie Infinity (AXS) $ 8.67
the-sandbox
The Sandbox (SAND) $ 0.581576
tezos
Tezos (XTZ) $ 0.991431
theta-token
Theta Network (THETA) $ 0.873230
aave
Aave (AAVE) $ 60.98
huobi-token
Huobi (HT) $ 6.33