BonkDAO announces plans to burn 1.69t BONK in “BURNmas” event

The goal of this Solana meme community project to increase BONK’s demand in the crypto market is to burn $54.52 million worth of tokens.

As part of the community holiday celebration called “BURNmas,” BonkDAO announced an ambitious plan to burn 1.69 trillion Bonk (BONK) tokens, or $54.52 million. This deliberate move aims to reduce the amount of BONK in circulation, making it more scarce, and could impact market dynamics.

Hey BONKers, a quick BURNmas Update:

During the campaign, the BONK community exceeded The Dog’s (and DAO’s) expectations and REALLY showed up❗️❗️❗️

final number $BONK The number of people collected from these incentives is over 1,690,000,000,000🔥

Now all that’s left is a DAO multisignature… pic.twitter.com/GtZ16u3FK7

— BONK!!! (@bonk_inu) December 25, 2024

Approximately 1.8% of BONK’s entire supply, currently approximately 92.7 trillion tokens, will be burned. According to officials, BonkDAO will conduct the burning through a multi-signature vote, emphasizing community-driven management of the project.

At the time of this writing, BONK is trading at $0.0000330 with a market cap of $2.51 billion and a 24-hour trading volume of approximately $279.21 million. The token’s price fluctuated ahead of the burn event as investors speculated on the effects of reduced supply.

BONK’s close ties to the Solana (SOL) blockchain and ecosystem have often led to price increases when Solana has gained positive momentum. The upcoming burn could strengthen these dynamics and position BONK to drive increased market interest from crypto investors.

BONK Price Chart | Source: Crypto.news

The last major BONK token burn occurred on July 9, 2024, when BonkDAO burned 84 billion BONK tokens, worth $2 million at the time. This event triggered a 25% price increase in a single day, demonstrating society’s strong determination to maintain the balance between supply and demand.

Token burning is a common strategy in the cryptocurrency market to reduce supply and create scarcity. The basic economic principle of supply and demand suggests that when fewer tokens are available, the value of the remaining tokens can increase, provided that demand remains the same or increases. While token burns often lead to short-term price increases, increased trading activity and greater investor interest, their long-term effects depend on the utility of the project and broader market conditions.

With “BURNmas,” BonkDAO continues to innovate in the meme-token space by leveraging its vibrant community to drive growth and interest. This event is a significant milestone for BONK, further strengthening its position as a cornerstone of the Solana ecosystem and one of the most dynamic meme tokens on the market.