@BOMBERuss 22 December 2021 more from that month

The Binance cryptocurrency exchange will introduce a mechanism for automatic coin burning "BNB Auto-Burn". It will provide a greater level of transparency for the Finance Coin and Balance Smart Chain communities. As Finance reported in a blog post, instead of quarterly destruction of BNB coins, a verifiable BNB Auto-Burn mechanism will be used, operating independently of the revenue received on the centralized Binance exchange through the use of BNB. Its action will be automatically adjusted, so the number of coins to burn is based on the BNB price, reflecting the supply and demand for them. In addition, the number of blocks created during the quarter will be taken into account, which will be calculated based on information about the chain. The formula looks like this. B is the amount of BNB to destroy. N is the total number of blocks created in Binance Smart Chain (BSC) during the calendar quarter. The block creation time in BSC is about 3 seconds, so the number of blocks produced per hour will be about 1200 (3600 seconds per hour divided by 3). Given that there are three months in a calendar quarter, N equals 3600 ÷ 3 × 24 × 30 × 3 = 2 592 000, where 24 is the number of hours per day, 30 is the number of days in a month, and 3 is the number of months in a quarter. P is the average BNB price in US dollars. We are talking about the average value of the price oracle sample on BSC (for example, ChainLink), the sampling frequency will be 10,000 blocks, which is now equivalent to about 8.3 hours. K is a constant value as a "price anchor", initially set at 1,000. The mechanism will be stopped when the total circulation of BNB becomes below 100 million. This value can be changed with the help of a BEP proposal and a community vote. The chart below shows the expected amount of quarterly automatic coin burning at the average BNB rate. After the introduction of the BNB Auto-Burn mechanism, the projected amount of burning, which will be calculated according to the above formula, will become publicly available. Recall that in October, Finance conducted the seventeenth quarterly coin burning, destroying 1.3 million BNB for a record amount of $640 million.