Questions Asked Following Binance’s 9th Buyback of Exchange Token BNB

[Walter Abbott]

Malta-based exchange Binance recently completed the ninth quarterly burn of its popular Binance Coin token, BNB.


Last week the exchange burnt just over two million BNB tokens, with a value of nearly $37 million.


Since 2017, Binance has conducted regular token ‘burns’, in which they buy back the token from the market before destroying them, thus removing them from circulation and acting as a stimulus to the asset’s price.


In June, following the eighth burn, He-Yi Binance’s co-founder was forced to take to social media to defend a change in the way Binance burnt its tokens.


The controversial change meant that rather than burning 20 per cent of the tokens in circulation, the exchange decided to burn the portion that had been allocated to the exchange’s management team – leading to vehemently denied accusations that the new method would destabilize and devalue the currency.


Now, questions are being asked about two more things that stand out from the ninth burn.


Firstly, investors are confused about the number of BNB burnt given the exchange’s lacklustre third quarter performance, that saw its daily volume well below of its second quarter figures.





The eighth burn saw the exchange burn 808,000 tokens, despite the period being a much more successful one in terms of daily trading volume.


Secondly, questions are being asked about the total number of BNB burnt and in its existence after confusion in some of Binance’s numbers was highlighted.


In its white paper the exchange previously told people there would only ever be 200 million BNB tokens in circulation.


The announcement on the ninth burn means that in total 14,525,135 BNB have now been burnt since the process began in 2017.


This leaves a total of 185,474,865 BNB remaining. However, Binance is being asked to explain why the burn address wallet is displaying 48,461,323 BNB remaining.





Taken together from both sources, the recent announcement and the total in the burn wallet, Binance seems to have 233,936,188 BNB tokens remaining.


This figure is confusing investors, and seems to contradict the exchange’s own white paper.


It has led to allegations about the exchanges potentially “shady” accountancy and business practices.


So what’s the explanation? Maybe Binance will enlighten us all.


Source of article: https://www.coincronica.de/questions...nge-token-bnb/

[Ray Ramalho]

How senseless can Binance be!

[Babu Meman]

This news just spoilt my entire day already.

[Alex Loudon]

This is just too heartbreaking!

[Billy Prince]

This news of the latest token burn by Binance will only be supported by fools because it is nothing but a very tragic step.

[Christopher12]

Binance, the source of failure. I am not hopeful of this but analysis last 6 months and you will just reach to this closing!

[KYCbench]

This is a very sad day for Binance. I was a huge fan of theirs. But firstly they restricted the traders and now this.... Too bad

[Beau Casson]

Just got on and to see this News.

I haven't used Binance for long time, and I am glad about it. They have taken things granted...

[Ray Wilkins]

This very weird and hard to understand. I think Binance should hire someone with sense with what goes on. From long time, there is almost attempt to make crazy moves. No clue why

[Amit Kumar]

Binance just wants to do everything possible to wreck the sector.