Second BEST token burn: Recap and new features

Read this in German and French.

Today we burned (destroyed) 22,793,488 BEST - the equivalent of €2,058,252. The first BEST token burn happened on January 30th, where we burned the equivalent of €750,600 in BEST. These burn events will continue every quarter until 50% of the total tokens are destroyed. In this blog post, Bitpanda CEO Paul Klanschek gives some insights on the burn and some newly launched BEST features.

Dear Bitpanda community,

I am happy to announce that we just conducted our second token burn for BEST. We burned more than 25% of BEST used for trading premiums in the time between the 31st of January, 2020 and today. Those tokens were destroyed for good. The total amount taken out of circulation in this burn was 22,793,488 BEST (4.315% of the outstanding supply) which equals €2,058,252.

You can find the information related to the first BEST burn event here: the total supply and the burn transaction.

BEST Rewards as the second killer-feature

As you already know, every user who uses BEST to pay for trading premiums gets a 25% discount, plus we guarantee a value of €0.12 when BEST is used for trading premiums. This means the lower the BEST price, the higher your actual discount! But, of course, as an investor you want the price to go up, so keep in mind that the 25% discount is still valid even when the price per BEST crosses €0.12!

But now to BEST Rewards, the second killer-feature after the discount. BEST Rewards is one of the most attractive loyalty programmes out there: from now on, you can collect more than 12% in additional BEST every year! All you have to do is hold BEST in your Bitpanda wallet and do at least one monthly trade. The higher your BEST VIP level, and the more you trade, the more BEST you earn! You can read more about it here.

Combined with token burns like the one that happened today, we are able to burn even more BEST in our quarterly token burns. It’s also important to mention that the BEST Rewards incentive doesn’t mean that the supply inflates - the opposite is the case. With this, we are able to ensure a constantly decreasing supply until 50% of the total tokens are destroyed, while giving BEST back to our most supportive users.

By the way: don’t forget to claim your BEST Rewards for April 2020 today if you haven’t done this already!

In addition to BEST Rewards, we added a couple of exciting benefits for our loyal BEST VIP users (5,000 BEST or more):

• BEST VIPs were able to vote which cryptocurrency we add next.We included our users with BEST VIP levels 1 or higher in our decision making.
• We lowered deposit fees for BEST VIPs.As a BEST VIP level 2 and 3 user, you benefit from 20% lower deposit fees when using credit cards and 25% lower deposit fees for SOFORT.
• BEST VIPs got more cashback in a SEPA savings plans promotion. BEST VIPs were able to get up to €250 cashback in a super exciting, temporary cashback promotion.

BEST adoption rate is rising - so is the burn amount

As you can see from our last Bitpanda Ecosystem recap, we currently have a very solid adoption rate of around 25% of active users who pay for trading premiums using BEST. It’s safe to say that we successfully established BEST as the core element of our growing ecosystem and we can see that more and more users appreciate the benefits of BEST. The tremendous growth in trading volume on both Bitpanda and Bitpanda Pro is the reason why we were able to burn as much BEST as we just did.

Upcoming BEST burns

So there are no surprises, here are when the next BEST burns will take place.

I’m really pleased with the adoption rate of BEST and our overall strategy to deliver the best, high-quality features to our users. Stay tuned on our blog and social media channels, where we will keep you updated on everything concerning BEST.

We have many exciting projects planned for 2020 and I’m happy to have such a great team and users who stand by Bitpanda’s vision.

Paul Klanschek