Tron CEO, Justin Sun took to Twitter again to announce the eight coin burn of the network. In his tweet he stated that 182 million ERC20 tokens were burnt, adding that supporter and believers are welcome to verify the coin burning.
“TRON completed the 8th ERC20 token coin burn of 182,359,804.286079 TRX, we welcome the supervision from our supporters and believers.”
Now, Mr. Sun and his team have made the public to see and accept coin burning as Tron ritual or tradition. As clearly stated in the tweet, this is not the first time this burning is taking place, it all started since the launch of MainNet in June 2018. The reason for this was to control inflation and offer incentives to users as stated by Tron foundation.
“Coin burn encourages a fair distribution of cryptocurrency, helps to control inflation and reward token holders.”
Just in November 2018, the CEO announced another coin burn of $800 million worth of Tron tokens, in a live stream, Sun gave an explanation for the burning. His explanation was that the burnt token has been sent to a lock-up address and can never be in circulation again. The purpose is to increase the value of the particular token by creating artificial scarcity.
However, it is only the old tokens that are burnt which is in no way linked to the new ones in circulation. Tron seems to have devised a method of strengthening the value of its token.
The post Tron’s Justin Sun Announces TRX 8th Coin burn of 182 Million ERC20 Tokens appeared first on ZyCrypto.