- Bitget plans to burn 800 million BGB tokens, reducing supply to 1.2 billion tokens.
- BGB surged 20% in one day, hitting $8.49 after the 40% supply burn announcement.
- Bitget merges BWT with BGB, planning real-world use in payments for travel, shopping, & more.
Bitget, one of the premier cryptocurrency exchanges, has released new updates to its Bitget Token (BGB) whitepaper. In a Friday statement, the platform disclosed that it aims to burn 800 million BGB tokens, 40% of the tokens in circulation. This reduction will lead to the total circulating supply of 1.2 billion tokens; all remaining tokens are now in circulation.
BGB Token Surge
The burning of 40% of the BGB tokens supply sent the cryptocurrency into the stratosphere. After the announcement, BGB reached an all-time high of $8.49, and its market capitalization rose above $11.71 billion. The token increased by 20.76% in a single day and had more than 428% in December. A market cap of nearly $1B is necessary for a cryptocurrency to rank in the top 15, further emphasizing the significance of BGB’s recent rise.
Besides the initial burning of BGB tokens, Bitget has agreed to burn BGB tokens every quarter. The exchange will utilize 20% of the trading fees, buy back the BGB tokens, and burn them. This ongoing burn strategy is intended to decrease the token’s supply and thus make the token scarcer. Bitget assured that the specifics of every burn will be revealed after each quarter event.
BGB and BWT Merger
The changes in BGB tokenomics come one day after Bitget revealed new strategies concerning its token. The exchange also disclosed that it would be combining the Bitget Wallet Token (BWT) with BGB. The merger plans to create one token representing the entire Bitget ecosystem, including the Bitget exchange and Bitget Wallet.
From 2025 on, the combined token will be valid for real payments in restaurants, traveling, fuel, shopping, etc. This decision aims to enhance the token’s usability and offer the community a single platform for both crypto and daily transactions.
Will Bitget Token (BGB) Reach $10 By The End Of The Year?Bitget has been working on expanding its ecosystem at a very fast pace. With the new burn strategy and the merger of BWT with BGB, Bitget wants to attract more investors and users to the token. Bitget is preparing BGB for the long term by gradually decreasing the token’s supply. This rather risky approach can be a key advantage for BGB in the fiercely competitive sphere of cryptocurrencies.
