I do believe that many of us fantasise about being so rich, we can literally afford to burn money. Not only is this wasteful and of course, morally wrong, it’s also not recommended, so please, don’t go from here and burn any money.
It’s also illegal to deface money, but anyway, I suppose the legality of sovereign currency is something the crypto-community aren’t too bothered about hey!
Burning, in cryptocurrency however is a little different.
According to Investinblockchain.com:
“By burning cryptocurrencies, the value of the remaining coins increases. This because most cryptocurrencies have a finite total number. For example, there are currently 16.7 million Bitcoins in circulation and there can only be 21 million Bitcoins in total. Imagine that 1 million Bitcoins will be burned and the demand for Bitcoin remains the same; in this case, the decrease in supply of Bitcoins will cause the price to go up.”
See more, here- https://www.investinblockchain.com/why-burn-cryptocurrencies/
Letter to the community: #TRON Independence Day. Celebrate on June 25th as we become a free, autonomous, and self-governed decentralized internet. Join us in celebrating with a ??1 billion #TRX coin burn! @Tronfoundation https://t.co/NZrpDq6V9V pic.twitter.com/NFmIjRAF6u
— Justin Sun (@justinsuntron) June 21, 2018
Justin Sun, founder of TRON has recently tweeted about this coin burn, stating that on the 25th of June, when the full TRX token migration takes place, TRON will become ‘free, autonomous and self-governed’ they wish to celebrate by burning 1 Billion TRX tokens. According to the TRON Medium post:
“TRON Foundation will conduct a burn of 1,000,000,000 TRX all at once, which is worth 50 million USD according to today’s market price. This may set the record for the most amount of money destroyed in human history in celebration of a historic moment. The amount of TRX at the beginning of mainnet launch will be reduced to 99,000,000,000TRX, and the remaining 33,251,807,524 TRX held by TRON foundation will stay locked until January 1th, 2020.”
You can see the full post for yourself here-
This coin burn will mark the start of a new era for TRON, on its own blockchain, based around its own native TRX token (no longer using Ethereum’s ERC-20 format). After this phase, new tokens will be delivered to exchanges and wallets which in turn, will; be swapped. Therefore, if you hold the current TRX, the chances are your exchange or wallet will facilitate an automatic swap of these tokens (though this may not always be the case, so please check with your exchange/wallet provider). According to the TRON Foundation:
“The schedule of when each exchange migrates their tokens from ERC20 to TRON mainnet will be announced by individual exchanges. After receiving TRON mainnet tokens, the users can withdraw the tokens and deposit in TRON-recommended wallets and start voting. List of TRON-recommended wallets: https://tron.network/wallet.”
With the coin burn pending, the value of TRX is sure to shoot upwards, likewise, as the token migration gets underway, we expect demand for this currency to shoot upwards. At the time of writing, TRX is valued at $0.045, down 6.31%. We expect this to all change pretty soon though.
For now, it’s an important time to watch TRON. Those with investment may very well reap some great rewards soon, but remember, this is a risky business and things could also go very wrong. Over the next few days, keep your eyes on TRON.