2025-12-15 23:22:12

A certain leading public chain's BNB token has been implementing an automatic burn mechanism called Auto-Burn. The logic behind this mechanism is quite interesting — every quarter, the system automatically calculates the amount to be burned, with the ultimate goal of reducing the total supply of BNB from the initial 200 million tokens to 100 million tokens.

By the end of 2025, the circulating supply of BNB has reached 137.7 million tokens, with a total of 62.27 million tokens burned. In other words, nearly 30% of the original supply has been destroyed.

Looking at the burn pace in 2025 reveals the vitality of this mechanism. Q1 burned 1.58 million tokens, Q2 followed with 1.596 million tokens burned, Q3 dropped to 1.441 million, and the estimated burn for Q4 is 1.334 million. Throughout 2025, an average of 1.5 million tokens are burned each quarter, totaling 6 million for the year.

This burn scale appears to be gradually slowing down, and the reasons behind this are worth pondering. The burn value in Q3 was approximately $1.208 billion, indicating that the burn volume is closely related to ecosystem activity and market price fluctuations.

So, how does this Auto-Burn actually work? The core formula is B = (N × K) / P:

**B** is the number of BNB to be burned in the quarter; **N** refers to the total number of blocks generated on this public chain during the quarter (about 2.592 million blocks per quarter, assuming a 3-second block time); **P** represents the average BNB price in USD during the quarter; **K** is a price anchoring constant, initially set to 1000.

The brilliance of this mechanism lies in its establishment of a dynamic balance — the higher the transaction volume and activity generated by the ecosystem, the more blocks are produced; when the price is higher, the number of tokens burned actually decreases. This adaptive design makes the shaping of token scarcity more scientific.

BNB2,42%

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StableBoi

· 2025-12-16 08:43

BNB's destruction mechanism is indeed cleverly designed; the higher the price, the less gets burned. Isn't this just market manipulation to protect the price while cashing in, haha?

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FalseProfitProphet

· 2025-12-15 23:52

Damn, this mechanism design is brilliant. The higher the price, the less destruction? Isn't this just a disguised market support? BNB's Auto-Burn really has it figured out. The inflation pressure is directly converted into token scarcity. The 30% burn sounds aggressive, but it still needs to slow down to reach 100 million tokens. How long will that take? Price anchoring is a good move. The higher the ecosystem activity, the more blocks and the more aggressive the burn, but when the price rises, they soften... This dynamic balance is basically just helping the whales scoop up the chips. It's truly scientific reduction, sounding impressive but actually just a new way to cut the leeks. Whoever believes it is a fool. Q4 still needs to reduce to 1,334,000 tokens? Is the slowing burn pace because there's no activity left or are they holding back a big move?

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StableCoinKaren

· 2025-12-15 23:38

Wait, the amount burned actually decreases as the price rises? That logic seems a bit off, it feels like it's protecting the interests of coin holders, right?

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MEV_Whisperer

· 2025-12-15 23:27

This destruction mechanism is really awesome. The higher the price, the less destruction occurs, which is truly an art of counterintuitive operation. The destruction volume is slowing down, is the ecosystem activity decreasing? Damn, a 30% destruction scale. If it causes a price rally, what should we do? The dynamic balance design is quite clever, but it still depends on whether the price can be stabilized later on. Q4 is only expected to destroy 1.334 million, clearly in decline. The momentum doesn't seem as strong anymore. This formula is simple and crude, just dividing the block count by the price. The more expensive, the less destruction, it has that flavor. Wait, does that mean the faster the coin price rises, the more destruction becomes a burden? The adaptive mechanism sounds awesome, but the premise is that there must be enough activity to support it. Compared to burning coins, I'm more concerned about whether the ecosystem is active. That’s the real indicator. Reducing to 100 million coins, which still takes a long time. This pace belongs to slow and steady progress.

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LayerZeroHero

· 2025-12-15 23:26

Wow, this formula design is really something. The higher the price, the less is burned. Isn't this an automatic adjustment of inflation pressure? A drop to 1.44 million coins in Q3 indicates whether the ecosystem activity is declining or the coin price is rising? We need actual data to draw a conclusion. A 30% destruction scale... Wait, if we keep pushing like this, when will we actually burn the remaining 70 million plus coins? Have we calculated it? This dynamic equilibrium mechanism is essentially a reverse inflation anchor. Clever, but we need to watch out for people exploiting arbitrage. Why does it feel like the burn pace is slowing down? Is the ecosystem activity really declining?

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