Bitget announces $5 billion BGB token destruction plan
Bitget destroys 40% of BGB supply to enhance value
Bitget, a renowned cryptocurrency exchange, has released a revised version of its BGB whitepaper, unveiling a transformative buyback and destruction mechanism aimed at enhancing the token’s value and utility.
The initiative begins with the destruction of 800 million BGB tokens held by the core team, accounting for 40% of the total supply. At current market prices, the value of the destroyed tokens exceeds $5 billion.
This move will significantly reduce the total supply of BGB to 1.2 billion tokens, achieving full circulation and aligning with Bitget’s strategy to improve the token’s long-term market performance. The one-time destruction highlights the company’s commitment to creating a sustainable ecosystem for BGB holders.
Quarterly buyback and destruction starting in 2025
Bitget has also announced a quarterly buyback and destruction program to commence in 2025. Under this plan, 20% of quarterly profits from the exchange and wallet operations will be allocated to repurchasing and destroying BGB tokens. These profits will be derived from multiple revenue streams, including:
- Spot, contract, and leveraged transaction fees from Bitget Exchange.
- Swap, contract, and NFT transaction fees from Bitget Wallet.
- Other related revenues.
The quarterly destruction mechanism is designed to systematically reduce the token supply while maintaining consistent demand, ensuring long-term value stability and growth potential for BGB.
Future integration and use cases
The updated whitepaper also highlights Bitget’s vision for the expanded utility of BGB. The token will play a key role in three core areas:
On-chain applications: Integration into popular public chains and leading DeFi ecosystems.
PayFi payments: Enabling seamless transactions in both online and offline scenarios.
On-site benefits: Providing exclusive rights and privileges to BGB holders within the Bitget ecosystem.
BGB as a core asset
Through these strategic developments, Bitget aims to position BGB as a leading asset in the cryptocurrency landscape. By reducing the supply, implementing buyback programs, and expanding utility, Bitget reinforces its commitment to delivering value and sustainability to its user community.
Notably, Bitget previously announced the merger of its two flagship tokens, Bitget Wallet Token (BWB) and Bitget Token (BGB).
