Why is burning coins good

[kojektea]

Burning greatly affects market prices into a good trend. This method has been used for a long time. It proved to be very good to make the project more qualified and rare. Because the supply of the whole will be reduced and the tokens obtained are increasingly rare. Burning is well liked by the community and traders because prices always go up after burning occurs.

[Abiky]

Burning greatly affects market prices into a good trend. This method has been used for a long time. It proved to be very good to make the project more qualified and rare. Because the supply of the whole will be reduced and the tokens obtained are increasingly rare. Burning is well liked by the community and traders because prices always go up after burning occurs.

Not all tokens whose supply gets burned, usually increase in price. Only those with high demand will be able to rise all the way to the moon. Coin burning is a tactic used by developers in order to attract investors into their project. It's no wonder how BNB became extremely valuable within just a few years since its creation. The cryptocurrency constantly burns its supply in order to remain as scarce as possible.

Ultimately, it's all about usability. As long as the coin you're investing into is useful, you can rest assured it'll last a lifetime. Just because a coin is burning its supply doesn't mean it's going to be successful. Play the game right, and you'll be on a road towards non-stop financial success. Just my thoughts

[TribalBob]

Burning coins may be a powerful way to increase the price of certain coins where the coins you have are decreasing in supply.
this method is very effective I think in increasing the price of one coin

[darmin]

Burning greatly affects market prices into a good trend. This method has been used for a long time. It proved to be very good to make the project more qualified and rare. Because the supply of the whole will be reduced and the tokens obtained are increasingly rare. Burning is well liked by the community and traders because prices always go up after burning occurs.

This is a good example of what happened to BNB. Developers burn existing coins for the purpose of paying service fees. There have even been several times the burning of BNB coins. As a result, this coin increases and is quite stable. with the loss of coins from the market or circulation, or increasingly rare and limited. This will make the price of the coin increase.

[riskarcher]

Burning greatly affects market prices into a good trend. This method has been used for a long time. It proved to be very good to make the project more qualified and rare. Because the supply of the whole will be reduced and the tokens obtained are increasingly rare. Burning is well liked by the community and traders because prices always go up after burning occurs.

This is a good example of what happened to BNB. Developers burn existing coins for the purpose of paying service fees. There have even been several times the burning of BNB coins. As a result, this coin increases and is quite stable. with the loss of coins from the market or circulation, or increasingly rare and limited. This will make the price of the coin increase.

yes, especially burning coins is one of the marketing strategies to increase the value of coins and the market for investors who are increasingly interested. BNB is a leading platform that has the idea of burning coin that is what makes the value of BNB increase rapidly

[dbc23]

Generally scarcity of commodities give rise to inflation so if developers burn their coin to attain a high value for their coins then it's a nice prospect but recently the process is been overhyped by desperate developers and not all of those coin have attained a reasonable price value. BNB is just one of such projects and this has caused a skyrocket in the price value

[Jaered]

Burning is a hype word these days which has lost both its meaning and its use. What stops the project from initially starting out with the required tokens, less the burned ones? Investors should check it out

[ije07]

If basically burning tokens is to reduce circulation in the market so that it can cause a scarcity of the token and can make the price of the token increase, but if the trading volume on the token is high then burning tokens will greatly affect the price development of the token. market due to high demand and scarce tokens but if the trading volume on tokens is small I don't think it will have a big impact on its price development.

[gabbie2010]

burning coins is a good thing because by burning coins it will reduce the total supply of the coins while the demand remains
it will make the price rise due to limited supply
this is just a simple economic theory in sales

Burning of coin is really a good idea provided that the developers purpose of doing it is achieved probably to increase the price of that coin just like the periodically burning of BNB by it developers, however some other developers might announce the burning their coin just to hype invariably to decieve or trick investors whereas the said coin has not been well managed by their developers consequently after investing in it, there wouldn't be any impact made by such investment.

[TimeTeller]

burning coins is a good thing because by burning coins it will reduce the total supply of the coins while the demand remains
it will make the price rise due to limited supply
this is just a simple economic theory in sales

Burning of coin is really a good idea provided that the developers purpose of doing it is achieved probably to increase the price of that coin just like the periodically burning of BNB by it developers, however some other developers might announce the burning their coin just to hype invariably to decieve or trick investors whereas the said coin has not been well managed by their developers consequently after investing in it, there wouldn't be any impact made by such investment.

That is very right. Burning is good to alleviate the price of the coin but that is if there is really happening on the project.
But if it is only done without developing the coin itself and just relying on the possible increase because of the idea of burning, it will be worthless.
You can easily see the progress of the project, by looking at how they are publishing their progress or accomplishments.
A lot are attracting the interest of investors by stating that they will burn half the supply, but take note of their developments.

[timerland]

It's not necessarily a good thing.

In fact, if a project needs to burn coins to gain traction, they probably don't have a lot to offer.

Beware of these projects because right now "burning" is a buzzword just as "DeFi" or "NFTs". Just like the 2017 ICO craze, highly hyped projects will likely suffer the same fate sooner or later.

[armanhusni]

Recently, many projects have announced the burning of coins, but not everyone understands what this means.

This is a process by which cryptocurrency miners or developers get rid of a certain amount of tokens by sending them to addresses that are not accessible to anyone. The burning of coins is being implemented not because of the low viability of the project, but rather because of the desire of the creators of cryptocurrencies for great prospects.

Thus, the developers are trying to reduce the total number of available coins, while the created shortage affects the growth of their value.

The burning of coins can talk about the upcoming expansion of the project and a possible increase in its value. For example, after the recent announcement of a collaboration between Polygon and Newscrypto, the latter announced that they decided to burn $ 10M worth of NWC tokens this year. Consequently, in the near future, we can see a significant growth of NWC price on this news. What do you think about burning coins? Does this really affect the market value of the coins?

Coinmarketcap Burning a coin or token depends on the extra supply and if that supply is too much and the team plans in advance that the price of that token or coin will be increased in the market through Bernie in the future to replace the project as stronger in the market.  business strategy.  In this case, the investor and everyone associated with it sees the profit face.

[Gudhal Untu]

Burning is proof that the team wants to increase prices instantly, if waiting for buyers is difficult then the popular way right now is to burn, but we have to be careful because many projects can also increase stock so that burning looks useless.

[Mauser]

This comes as a surprise to me, I wasn't aware that there are projects that burn crypto coins on purpose. This is a bit crazy, because supply shortage will drive the price upwards but usually not if it's artificially created. How do we really know that the coins are not accessible anymore? Maybe they just wait for higher prices to dumb their coins. A limitation in the total amount of a crypto coin is a good thing, like we are seeing with bitcoins. But if the creators of a projected wanted such supply limits, why wasn't the coin created in such a way. Maybe I am to critical, but I would very cautious to buy more coins if the are being burnt.

[Dewi Aries]

What do you think about burning coins? Does this really affect the market value of the coins?

For a coin, investors and holders's mind is important. If burn coin made them believe a coin will be increased, and then it is something good. Because if people believe less supply means more demands, they wouldn't want to miss the chance and then buy the tokens too. It can cause pump for a coin. But people really should know this because i read from social media that there are people who think to "burn"  coin that they bought, and don't know if they gonna lose the coin. Only developers who must burn their tokens and not us investors or holders.

[LogitechMouse]

I still remember the time where the word "burning" was being used by these new projects (mostly memecoins and shitcoins) just to attract investors.
They will try to create a coin which has a very huge supply (mostly in trillions) and then every transaction, they will burn a certain percentage of the total supply. Most of them didn't state when the burning ends so most likely, those projects will end up at 0 supply because burning is limitless which is kinda funny.

Well, its not about the burning mechanism of the coin. It depends on the usage of the coin. I remember BNB where they are making quarterly burning of BNB coin until the supply comes down to 100 million coins only. This is a good thing for BNB since it increases the supply of it and aside from that, they have a very huge users in their exchanges which makes them very popular unlike those new projects that are just attaching the word "burn" just to gain clout.

Burning affects the price of coins only if there are many holders of it. Its kinda useless if a new project will have a burn mechanism and then there are only few people that are using that coin.

[Wipeout2097]

The  burn of coins is fair truly great in the event that the supply is boundless and the stamping of unused coins is continous or basically having that unbounded supply or might we say that coins does have billions of add up to supply at that point it is fair great to have this kind of burning strategy but doesnt naturally implies that cost would be going up. It all things with the request since there wouldnt be still no esteem of a coin on which request isnt truly there compared into those who do have big total supply but the request is tall at that point anticipate that the esteem would truly be great.

[Evgenklm]

burning, I think, does not play a special role to a project that is not successful and not promising, there are many projects with a huge number of coins in circulation, which have trading volumes of billions of dollars per day, such as shiba inu, doge.

[lixer]

The burning of coins can talk about the upcoming expansion of the project and a possible increase in its value. For example, after the recent announcement of a collaboration between Polygon and Newscrypto, the latter announced that they decided to burn $ 10M worth of NWC tokens this year. Consequently, in the near future, we can see a significant growth of NWC price on this news. What do you think about burning coins? Does this really affect the market value of the coins?

The thing is that I don’t get why all these projects will start a huge amount of coins, knowing very well that they would end up burning almost half of the coins later. What’s the need for all that? Isn’t it all an unnecessary process? Since they know that they are going to end burning almost half of the coins later on, it would be best that they just start up with a smaller or the exact amount that they would prefer, than starting with a huge amount and then burning them later on.

I just don’t see the need for all that. This is not something that I would see frequently before, but now it has become a trend that almost every new project now wants to follow the trend.

[aseprebel]

The primary objective of coin burn is to regulate the supply and thereby stabilize the price, additionally, by reducing the circulating supply of a portion of the circulation so the number of transactions gets equally reduced. In a nutshell, a reduction in volume lowers the chances of spam attack which leaves enough bandwidth for health transaction count on the network.