We are happy to announce that the first token burn event for BEST, the Bitpanda Ecosystem Token, will happen on January 30th, 2020 at 2:00 pm CET. Starting a quarter early, we will be constantly decreasing the supply of BEST over time, until 50% of the total tokens are destroyed. Plus we’ll add a couple of exciting new BEST features!
OK, that sounds great but what does it actually mean?
BEST usage is on the rise: Up to 30% of our active users already use BEST to get a discount on trading premiums. We at Bitpanda decided to move the first burn event up from April to January and burn earlier than initially planned. This is because more users than expected were already using BEST on a daily basis, because of this we collected enough for a first burn event!
On January 30th, 2020 at 2:00 pm CET, we will take all BEST used for trading premiums into account and destroy (burn) at least 25% of this amount. This will happen on a quarterly basis until 50% of the total BEST supply is destroyed. This destruction mechanism will reduce the overall supply of BEST over time.
Staying true to Bitpanda’s vision paper promise, we will then facilitate quarterly burns on every last Thursday, meaning the next token burns will be:
Why did we move the date forward?
We listen to our community across all our channels and we know that activity expectations are high in 2020. With this early token burn, we would like to take the first step towards our global growth strategy for BEST and Bitpanda.
Why are we burning BEST?
Token burns are part of the overall strategy for BEST. The BEST we burn during those events were collected from users who used it to pay for trading premiums on Bitpanda and the Bitpanda Global Exchange. Eventually, the goal is to reduce the supply of BEST until 50% of BEST is destroyed. So put simply, a decrease in the supply means that there are fewer tokens in circulation.
More BEST features coming very soon
We will further establish BEST as the fuel of the Bitpanda ecosystem. This means that we will make heavy use of BEST in upcoming products and features. You won’t have to wait long, as we will already roll out exciting new BEST features together with the first token burn on January 30th, 2020 and soon after!
Overall, BEST will play a vital role in our expansion strategy for 2020, leading Bitpanda’s vision of accelerating the transition to a tokenised world.