The $ 595 million worth of virtual money was destroyed in the first quarter of 2021

Quarterly, the Binance Coin development team will conduct ‘burning’ (burn coin). This is a trick aimed at reducing the total market supply, increasing liquidity and boosting the value of cryptocurrencies.

With the feature of using a distributed ledger in the blockchain of cryptocurrencies, burning virtual money can easily be done (and made public) by transferring the wanted amount to an inaccessible wallet and then disqualifying it. remove it from circulating supply.

Binance Coin has gone through 15 quarterly burns, but the most recent has set a record for the value of the destruction.

Since the first burning of cryptocurrencies, Binance Coin has gone through 15 times with different reserves and destruction values. At the last time that took place in the first quarter of 2021, although only over 1 million VND were destroyed, the amount spent by the development team reached 595 million USD, due to the value of Binance Coin. soared in that quarter.

The bullish momentum of Binance Coin, as explained by the founder of Million Fields ‘CZ’ Bang, is due to 5 reasons. In particular, the 44-year-old billionaire said that the virtual money market in general and Binance Coin in particular had a miraculous growth in the past quarter.

Binance Coin however has plummeted in value following the announcement of destruction as the money flowed to Dogecoin.

Citing CZ is that the virtual currency market takes 11 years to reach a market capitalization of 1 trillion USD, but it only takes a quarter to increase capitalization by 1 trillion USD. With Binance Coin alone, CZ said, this is a virtual currency that has many applications in the Binance ecosystem, from chain to smart contracts and other decentralized applications.

Currently, Binance Coin is trading at around $ 513, a sharp decline after peaking at $ 637 on April 12. However, the coin still retains a market cap of $ 78 billion, ranking third in the virtual currency market, according to CoinMarketCap.