Bitcoin exchange OKX has achieved an important milestone by executing its 21st OKB buyback and burn. Approximately 6.14 million OKB tokens were burned, reaching a record value of 255 million dollars.
OKX had previously announced its intention to burn tokens based on periodic market conditions and operational performance. However, the exchange did not announce specific rules regarding this process. Burning tokens is a strategic move often used by cryptocurrency exchanges to reduce the total supply of their native tokens, thus potentially increasing their value over time. OKX’s afterburning is seen as important in maintaining a healthy token ecosystem.
OKB is a utility token native to the OKX platform and provides users with a variety of benefits and privileges, including trading fee discounts, participation in token sales, and more. Periodic burning of OKB tokens is a practice that aims to increase the scarcity of the token and therefore its potential value. This strategic move is closely watched by the crypto community and often serves as an indicator of the exchange’s performance and position in the market.