What is Going on with Binance and their Questionable Token Burn?

shinratensei_

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Quote from: KYCbench on October 23, 2019, 04:44:53 PM

The Token Burn is utter nonsense.

The token burn amount is totally non-sense, but im seeing the current supply that has already stated by that article looks different compared with what has already stated in various CMC sites.
Or may i wrong about that?
It looks like binance is starting to follow what has already done by various centralized exchange sites to manipule its system.
But remember about binance is not yet revealing the agreement between the team and IEOs companies. That burns make sense if all of the money is coming from the fees from IEO platform.
I just hope exchange site will try to create a financial report in any quarter to increase the transparency to the investors and so far i never see any exchange site that released a financial report.

SistaFista

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Indeed it is strange for the amount of token burned in 3rd quarter, it should be lower than the previous.
I think there must be some explanations from their team why they burned the token in such amount.
Anyway, if something wrong happened in binance, then we can think about using other crypto exchanges as well.

joinfree

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Quote from: Andrew Parker on October 23, 2019, 03:24:19 PM

I am not surprised, the people handling Binance have never shown any level of intelligence and that explains why they keep messing everything up for everyone.

I beg your pardon mate, how many project that run an ICO in this space have come out successful and strong as Binance has ever done. Definitely this burn does not correlate to their whitepaper but don't vent it out on the intelligence of the team because they are among the best if you ask me. Do you know the number of investors during the ICO who are damn rich by now. Get your facts right before making such general arguments.

Perfect35

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It is quite surprising, most especially when there is no positive outcome as what is being expected. At least, everyone expects that the team should be astute enough to put the right thing(s). Well, I think more time to be given to the them, to see what will happen.

KYCbench

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The Token Burn is utter nonsense.

BlokbizICO

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It is too early to decide whether this is a reasonable measure at all or not.

FantasyGold

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If this is how cryptocurrency business is done, then I clearly do not want to be a part of it because Binance has just messed up everything for all of us.

There is nothing like progress with Binance, everything is always negative.

EastSound

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Quote from: diazepam666 on October 23, 2019, 03:36:06 PM

So this is the new plan from Binance?

What new plan? Its been the plan since the beginning

Quote from: diazepam666 on October 23, 2019, 03:36:06 PM

So this is the new plan from Binance?
No reasonable idea on how to tackle the many challenges on ground but they want to start burning tokens. Can there be any more senseless team?

What challenges are you even talking about?
Token burn - did you even read the whitepaper? Its been like that for years buy-back and burn.
The amount of FUD being spread right now, means someone really wants to get some of Binance customers.

-
check the volume of Binance future and the other branches of binance.

TinaK

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How can burning amount be this high? This is another step towards the eventual destruction of Binance and it is so interesting they are doing everything possible to hasten their demise.

Candycrush1129

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Whether this is a good move or not, time will tell.

key4co.in

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Quote from: Danumsigwasan on October 23, 2019, 03:02:55 PM

Binance, the world’s biggest exchange has burned 2,061,888 $BNB (36,798,103 USD). This means Binance burned their second highest amount since they began their quarterly burns.

Binance have said they will do a quarterly and regularly burn until 50% of their team tokens are destroyed.Token Burns are commonplace in the industry, but Binance’s latest destroying of tokens has proven quite controversial due to its size.

The basis for how Binance works out how many tokens it burns comes from the amount of profits taken and the trading volume. The size and lack of correlation between the size of the burn and the amount of trading volume/profits.

Trading Volume low, Burning amount high?

Binance, whose white paper states that,“every quarter, we will destroy BNB based on the trading volume on our crypto to crypto platform”. This makes the Q3 burn quite strange. As the figure below shows, the Q3 trading volume was much lower than that of Q2. But, this burn is vastly higher than that of the Q2. Binance are going against their white paper.

“Binance’s spot volume dried up in the last few months. The market has been dead and yet Binance just burned the equivalent of the second-best quarter in existence,” the Block’s Larry Cermak pointed out.

Perhaps Binance’s profits are the reason for the wide scale burn. “Since Binance burns 20% of profits, we can deduce that it made approximately $186 million in profit in Q3. This is the second-highest quarterly profit, “ stated Cermak. How can Binance have made such big profits when trading volume was low? Maybe it is due to their recent additions, but all the same it does look a little strange.

Binance forgetting the white paper again

The other white paper incident comes with regards to their outline of the burns and the amount Binance claimed their team owned.. The white paper says they will remove 100 million BNB from the 200 million BNB they already have.

Yet, the simple addition of burned addresses (48,461,324) and current supply (185,474,825), gives a total that comes out at 233,936,149 total. That’s 33 million more. Binance aren’t following their white paper, as this whole Q3 burn has shown.

2019 has seen a lot of issues and controversies for Binance. 7,000 Bitcoins worth about $40 million were stolen in May and the KYC hack in August, which saw its customer’s personal details being leaked online.

Now questionable token burns are the new issue for Binance, let see how they will answer these worrisome issues again.

Source of article: https://www.btcheights.com/what-is-going-on-with-binance-and-their-questionable-token-burn/

I saw this article on twitter and I was also wondering why the inappropriate correlation between their publication about quarterly burn and what's on the white paper. Maybe it's miscalculation, but how come Binance claimed to burn more BNB when trading volume was low as opposed what's on white paper. Honestly, burn helps reduce circulating supply and also boost price (although not always), but more focus should not be placed on it. Well, Binance team has been up and doing, so I don't have any blames on them.

bozo333

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Whenever you are expecting good news to come from Binance, you will end up being heartbroken...

Freddy11

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Many are giving negative vibes but maybe we should remain calm.

diazepam666

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So this is the new plan from Binance? No reasonable idea on how to tackle the many challenges on ground but they want to start burning tokens. Can there be any more senseless team?

Andrew Parker

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Activity: 164

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I am not surprised, the people handling Binance have never shown any level of intelligence and that explains why they keep messing everything up for everyone.

Danumsigwasan

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I am from Forex world.

Binance, the world’s biggest exchange has burned 2,061,888 $BNB (36,798,103 USD). This means Binance burned their second highest amount since they began their quarterly burns.

Binance have said they will do a quarterly and regularly burn until 50% of their team tokens are destroyed.Token Burns are commonplace in the industry, but Binance’s latest destroying of tokens has proven quite controversial due to its size.

The basis for how Binance works out how many tokens it burns comes from the amount of profits taken and the trading volume. The size and lack of correlation between the size of the burn and the amount of trading volume/profits.

Trading Volume low, Burning amount high?

Binance, whose white paper states that,“every quarter, we will destroy BNB based on the trading volume on our crypto to crypto platform”. This makes the Q3 burn quite strange. As the figure below shows, the Q3 trading volume was much lower than that of Q2. But, this burn is vastly higher than that of the Q2. Binance are going against their white paper.

“Binance’s spot volume dried up in the last few months. The market has been dead and yet Binance just burned the equivalent of the second-best quarter in existence,” the Block’s Larry Cermak pointed out.

Perhaps Binance’s profits are the reason for the wide scale burn. “Since Binance burns 20% of profits, we can deduce that it made approximately $186 million in profit in Q3. This is the second-highest quarterly profit, “ stated Cermak. How can Binance have made such big profits when trading volume was low? Maybe it is due to their recent additions, but all the same it does look a little strange.

Binance forgetting the white paper again

The other white paper incident comes with regards to their outline of the burns and the amount Binance claimed their team owned.. The white paper says they will remove 100 million BNB from the 200 million BNB they already have.

Yet, the simple addition of burned addresses (48,461,324) and current supply (185,474,825), gives a total that comes out at 233,936,149 total. That’s 33 million more. Binance aren’t following their white paper, as this whole Q3 burn has shown.

2019 has seen a lot of issues and controversies for Binance. 7,000 Bitcoins worth about $40 million were stolen in May and the KYC hack in August, which saw its customer’s personal details being leaked online.

Now questionable token burns are the new issue for Binance, let see how they will answer these worrisome issues again.

Source of article: https://www.btcheights.com/what-is-going-on-with-binance-and-their-questionable-token-burn/

Topic: What is Going on with Binance and their Questionable Token Burn? (Read 167 times)