Binance CEO Changpeng CZ Zhao on Sunday announced the Binance team has burned over 16 million BNB (ERC-20) tokens. Crypto exchange Binance is converting the ERC20 version of BNB to the native BEP2 version after the launch of the BNB blockchain. The BNB price jumped nearly 2% to hit a 24-hour high of $315.
Binance CEO CZ in a tweet on January 29 said the Binance team will transfer/burn large amounts of BNB tokens in the next few hours. He requested critics to avoid spreading FUD after noticing these transactions on-chain.
The burn is linked to converting the ERC20 version of BNB to the native (BEP2) version. Since the launch of native BNB blockchains, Binance converts BNB (ERC20) tokens held by some holders. Recently, Binance announces depositing about 16 million BNB (ERC20) tokens to a Binance wallet.
Etherscan on-chain data confirms a burn transaction from the ‘Binance 8’ wallet at 07:59 AM on January 29. Also, the BNB Chain explorer reveals a burn of 16,186,608 BNB tokens, with a transaction fee of just 0.000075 BNB.
On January 17, Binance burned 2,064,494.32 BNB tokens in the 22nd quarterly BNB token burn. Binance uses the Auto-Burn system to reduce the total circulating supply to 100,000,000 BNB.
After the burn of 16,186,608 BNB tokens by the Binance team, the BNB price hit a high of $315.