Burn Rate as a Valuation Metric: How to Read Token…
By Damilola Esebame
AI summary of the source article
BNB Chain completed its 34th quarterly token burn worth $1.28 billion in January 2026, while Ethereum's daily burn dropped to a record low of 53.07 ETH in March 2025 as Layer 2 networks absorbed transaction activity.
Why it matters
The shift toward Layer 2 networks "explains why Ethereum's annual supply growth returned to roughly 0.76 percent, undermining the deflationary thesis that dominated market narratives."
Key facts
- BNB Chain burned 1,371,803 tokens valued at approximately $1.28 billion on January 15, 2026, reducing circulating supply to 136.36 million tokens.
- Ethereum's daily burn under EIP-1559 fell to an all-time low of 53.07 ETH in March 2025.
- Standard Chartered analyst Geoffrey Kendrick estimated that Base alone extracted roughly $50 billion in market capitalization from Ethereum.
Source excerpt · FinanceFeeds
KEY TAKEAWAYS BNB Chain completed its 34th quarterly burn on January 15, 2026, removing 1,371,803 tokens worth approximately $1.28 billion and reducing the circulating supply to 136.36 million tokens. Ethereum's daily burn fell to 53.07 ETH in March 2025, an all-time low under EIP-1559, as Layer 2 networks shifted transaction activity away from the mainnet. Standard Chartered analyst Geoffrey Kend…