Leading cryptocurrency exchange Bitget has unveiled a significant plan to burn 40% of its native token’s total supply, amounting to 800 million BGB tokens valued at approximately $6.8 billion.
The initiative includes the introduction of quarterly token burns starting in 2025, funded by 20% of profits from the exchange’s operations and its associated crypto wallet services. This approach mirrors strategies employed by other major exchanges, including Binance, to bolster token value and create a deflationary effect.
Unified Token Ecosystem
The announcement follows Bitget’s recent decision to merge its Bitget Wallet Token (BWB) into Bitget Token (BGB), creating a unified ecosystem token for both its centralized exchange and wallet services. The merger will not alter the total supply of BGB, and the exchange rate has been set at 11.68 BWB to 1 BGB, ensuring a seamless transition for users.
Updated Whitepaper and Future Plans
Alongside the burn announcement, Bitget has released an updated BGB whitepaper, outlining the token’s evolving role within its ecosystem. The planned burns and token merger underscore Bitget’s commitment to enhancing BGB’s utility and value proposition for its users.
The first quarterly burn is expected in early 2025, signaling the exchange’s ongoing efforts to strengthen its position in the competitive crypto market.
