Crypto and web3 platform Bitget announced the completion of the quarterly burn of its native token, $BGB, removing 30 million tokens in line with its previously disclosed burn mechanism.
At the time of the burn, the tokens were valued at approximately $130 million and accounted for about 2.5% of $BGB’s total supply.
Burning of $BGB
In a blog, Bitget shared that over the past six months, it has eliminated 42.5% of the total $BGB supply. The reduction includes 19% from core team holdings, while the remaining 21% came from a mix of circulating supply and reserve allocations.
Bitget noted that the latest burn is the first of a series of quarterly events, where 20% of profits from the exchange and wallet operations will be used to buy back and burn tokens.
“$BGB’s growth brings to notice the paradigm shift in how exchange tokens are perceived… It is no longer just a tool for fee discounts—$BGB is becoming a pillar of a new digital finance architecture. With the best performance among major CEX (centralized exchange) tokens in the past year, it is emerging as a strategic asset in its own. This burn is a step toward building an ecosystem where value flows more transparently.”
Gracy Chen, Chief Executive Officer, Bitget
Earlier this year, aiming to reduce supply, boost value, and expand $BGB’s utility across both its CEX and decentralized wallet ecosystem, the firm shared that it burned 800 million $BGB, around 40% of the total supply, on December 31, 2024.
Bitget’s Burn Mechanism Plan
Earlier in April, Bitget updated the $BGB burn model to a utility-based system, where the amount of tokens burned each quarter is now directly tied to $BGB’s on-chain usage.
Specifically, it is based on the volume of $BGB used for gas fees through Bitget Wallet’s GetGas accounts. The burn amount is calculated using a formula that considers on-chain gas fee usage, quarterly average price, and predefined constants.
In addition, the media release noted that for the first quarter of 2025, over 30 million $BGB were burned. Bitget highlighted that all burn transactions and related data are publicly accessible on-chain for full transparency.
What is $BGB?
$BGB is the native utility token of the Bitget cryptocurrency exchange and its decentralized wallet ecosystem. $BGB operates on the Ethereum blockchain using the ERC-20 standard and has a fixed supply of two billion.
It serves multiple purposes, such as paying transaction fees, participating in platform activities, and accessing exclusive perks like fee discounts, staking rewards, and early access to new projects.
In late 2024, Bitget announced the merger of its two native tokens, $BGB and Bitget Wallet Token ($BWB), with $BGB becoming the unified utility token across its exchange and wallet platforms. $BWB tokens were automatically swapped for $BGB at a set ratio, and all $BWB services ended on December 27, 2024.
Last March, Bitget Wallet launched a $1 million BGB on-chain staking pool, offering a 5% annual percentage yield. The program includes a 90-day lock-up period, a maximum individual stake of 2,000 $BGB, and real-time earnings updates. However, the staking opportunity is available on a first-come, first-served basis.
Recent Bitget News
Bitget recently launched Bitget Onchain, a new platform that combines the benefits of CEXs and decentralized exchanges. It allows users to perform on-chain asset transactions directly within the Bitget app using $USDT or $USDC from their spot accounts. The platform supports Solana, BNB Smart Chain, and Base, with initial tokens like $RFC, $KTA, and 30 others.
After its successful event in Siargao in March, Bitget expressed plans to expand its PayFi initiative across the Philippines. The expansion will target popular tourist spots such as Palawan, La Union, Dumaguete, and Boracay, with a return to Siargao to onboard more merchants and deepen local involvement.
This article is published on BitPinas: Bitget Burns 30 Million BGB Tokens Worth $130M in Latest Supply Reduction
What else is happening in Crypto Philippines and beyond?
Other Articles
No Comment! Be the first one.