#MarketNewHype $BTC $BTTC Burning tokens is a process that removes cryptocurrency tokens from circulation, reducing the total supply of tokens:
How it works
Tokens are sent to a wallet address that is inaccessible and can't be used for transactions. This wallet address is called a "burner," "eater," or "null" address.
Purpose
The goal of burning tokens is to reduce the supply, create scarcity, and potentially increase the value of the remaining tokens.
Benefits
Burning tokens can help manage inflation, boost trader confidence, and demonstrate a project's commitment to value enhancement.
How it's implemented
Projects can implement token burning as a one-off event, a routine maintenance run on a periodic schedule, or as an automatic, built-in mechanism.
Similar to a company buying back its shares
Burning tokens can be similar to a company buying back its shares, returning value to its shareholders.
