Justin Sun, the Founder and CEO of the Tron Foundation announced that he finished burning $800 million worth of Tron ERC-20 tokens on Wednesday. He also referred ERC-20 tokens as artifacts and conveyed to his followers that they should hold one token as a souvenir as the tokens will soon become artifacts. The original Tweet read:
“I just burned 800 million USD worth $TRX ERC20 tokens. $TRX ERC20 tokens will soon become historical artifacts. Don’t forget to keep one as a souvenir. #TRON”
Since its mainnet launch in June, Justin Sun has announced coin burn events on many occasions. Between June and July, Tron was believed to have burnt around 100 billion TRX tokens. About a month ago, the community burnt more TRX tokens, which were believed to be holding a value of about $2 billion.
The reason stated by Justin Sun for several coin burn events is to remove those tokens from the total supply. This leads to an increase in the value of the cryptocurrency as the demand is constant but the supply is less, leading to a higher price for the coin.
Earlier this year, the Tron Foundation also stated that the coin burn process will help the ecosystem curb inflation, maintain a fair distribution of the tokens and also act as a reward for the HODLers.
Under recent developments, Tron has been creating more and more partnerships to maintain a healthy network in the cryptocurrency space and outside. The largest cryptocurrency exchange in the world, Binance was also seen associating itself with the Tron ecosystem. Other big names involved with the Tron Foundation are BitTorrent and Baidu.
Atlas, A Twitter user and a cryptocurrency space follower confused old TRX tokens for new and wrote:
“You burnt half of the circulating supply really?” – Atlas
Here, Brad, a Tron follower and another Twitterati clarified and responded to Atlas’ comment, stating:
“ERC-20 tokens, not the Tron coins. He burnt the old and now useless tokens.” – Brad
Subscribe to AMBCrypto’s Newsletter