Solana-based meme coin Bonk continued its downward trend despite the project recently burning 1.69 trillion BONK tokens.
On December 26, over 1.8% of BONK’s total supply, representing 1.69 trillion tokens valued at over $51 million, was sold as part of the dog-themed meme coin’s collaborative holiday token burn event called ” BURNmas” burnt.
Originally proposed in late November, the project planned to burn 1,000 BONK for every X post with the hashtag #LetsBONK and 10,000 BONK for every new follower on Instagram and TikTok, with the end goal of burning 1 trillion tokens. The idea was to encourage community engagement and increase the token’s visibility during the holidays.
However, due to higher-than-expected engagement across all social media platforms, the initial target of 1 trillion tokens was exceeded. In response, BonkDAO members voted for an updated proposal to increase the burn amount to 1.69 trillion tokens.
Token burns are common in the crypto space, especially with meme coins like BONK, which has a total supply of 100 trillion tokens, which has now been reduced to 90.97 trillion following the recent burns.
By permanently removing a portion of tokens from circulation, these events aim to exacerbate supply dynamics, which in theory increases scarcity and in turn drives up the price of tokens…
