Bitget has unveiled a major update to its BGB token, with plans for ongoing quarterly buybacks and deletions.
Cryptocurrency exchange Bitget has announced updates to its Bitget Token (BGB) whitepaper, introducing new changes to its tokenomics.
According to an announcement on Friday, Bitget will burn 800 million BGB tokens held by the core team, representing 40% of the total token supply. This burn will reduce the total BGB supply to 1.2 billion tokens, with 100% of the remaining tokens in circulation.
Bitget plans to release on-chain records of the burn, the press release said. Amid this news, BGB’s price rose 23% to $8.36, increasing the token’s market cap to $11.7 billion.
In addition to the initial destruction, Bitget has committed to destroying BGB on a quarterly basis by destroying 20% of its profits derived from trading fees on Bitget’s services. The repurchased tokens would be sent to a burn address, the exchange said, promising to share the details of the burn after each quarterly event.
The update comes a day after Bitget announced that it would merge its Bitget Wallet token with BGB to create an ecosystem token for both the Bitget exchange and Bitget Wallet. Starting in 2025, the combined token will expand to off-chain PayFi scenarios, enabling payments in places such as restaurants, travel, gas, and shopping, providing users with a one-stop Web3 and consumption service.
In addition, on December 27, the company also announced an updated roadmap for the Bitget wallet in which BGB will become the primary token for multi-chain gas fee payments via its GetGase feature, scheduled to occur in January 2025….
