Digital currencies have been gaining traction in the news and among investors over the past year and a half. As the aggregate value of all cryptocurrencies has skyrocketed by more than 3,000%, many people are looking for ways to get rich quickly from this hot investment sector. Coin burning is one such strategy that developers and miners use to reduce the number of tokens on offer, making the remaining tokens rarer and more valuable. Coin burning is a process where miners and developers of digital currencies can remove tokens or coins from circulation, thereby slowing inflation rates or reducing the total supply of coins in circulation.
Binance Coin (BNB) was one of the first to explore this strategy, but several exchanges do not quote the native tokens of other platforms, making it difficult to buy CRO. CRO is a token used by customers to get discounts on transaction prices and qualify for better rewards. Today, 59.6 billion CRO ($16 billion) will be burned, leaving 24 over 80% of the 70 billion supply. The remaining 10.4 billion are locked inside a smart contract, scheduled to be burnt monthly.
The Proof-of-Burn (POB) system has implemented a mechanism that promotes periodic burning of cryptocurrencies to maintain mining power and secure the network. Of the 5.9 billion CRO left after burning, 5 billion CRO will go to mainnet block rewards for on-chain validators and delegators, while 900 million CRO will go to particle B for the development of the on-chain ecosystem.