Bitget unveils $5B BGB token burn as price jumps 100% in a week

Key Takeaways

• Bitget announced a $5 billion BGB token burn, removing 800 million tokens from circulation.
• BGB has surged 100% in the past week, backed by a growing user base and increased trading volume.

Bitget, one of the fastest-growing crypto exchanges, announced today a $5 billion burn of its native token, Bitget Token (BGB).

The proposal discussed in Bitget’s new white paper outlines the burn of 800 million BGB tokens, representing 40% of its total supply.

At press time, the value of the burned tokens has risen to over $6.4 billion, highlighting the growing demand for BGB.

The token burn, which has significantly reduced the circulating supply to 1.2 billion, is part of Bitget’s broader plan to enforce a deflationary model and boost the token’s utility

Starting in 2025, the crypto exchange will implement quarterly burns, using 20% of profits from exchange and wallet operations to buy back and destroy additional tokens.

BGB has surged over 100% in the past week and more than 400% in the past month, with the token trading at $8.10 at press time.

The token saw over $600 million in trading volume in the past 24 hours. Bitget’s daily trading volume exceeded $30 billion, with its user base expanding to 45 million.

“Our decision to burn $5 billion worth of BGB aligns with our plans of making it a powerful medium of transacting value,” said Gracy Chen, CEO of Bitget.

The exchange recently merged BGB with Bitget Wallet Token (BWB), combining its centralized and decentralized ecosystems under one token.

BGB, with an $11.6 billion market capitalization, provides holders with trading fee discounts, exclusive event access, and participation in Bitget’s Launchpool for token farming.

Bitget maintains a $600 million Protection Fund and publishes Proof-of-Reserve reports as part of its transparency initiatives.