|
Getting your Trinity Audio player ready...
|
- OKX burns 279M OKB, slashing supply from 300M to 21M.
- OKTChain is decommissioned; OKT holders converted to OKB.
- Market reacts with wild price swings and record trading volume.
OKX has executed one of the largest token burns in crypto history, permanently removing roughly 279 million OKB tokens from circulation—equivalent to over $26 billion at current value. The move drastically reduces OKB’s total supply and signals a major reset in OKX’s tokenomics strategy.
Tokenomics Reset: Supply Slashed to 21 Million
This burn follows OKX’s previous scrapping of 65.26 million OKB tokens held in reserves from prior buyback programs. With the latest reduction, the exchange has cut the token’s maximum supply from 300 million to just 21 million. OKX also plans to update the OKB smart contract to remove minting and manual burn functions, permanently locking in the new supply cap. According to the exchange, the restructuring is designed to strengthen the ecosystem and create long-term scarcity for OKB.
OKTChain Decommissioning and Token Conversion
In parallel, OKX is winding down its troubled OKTChain, which will remain active until January 1, 2026. The exchange recently halted OKT trading, canceled pending orders, and conducted a separate burn worth $7.6 billion. OKT holders were converted into OKB at a rate calculated from the average closing prices between July 13 and August 12, effectively consolidating the ecosystem under the OKB token.
Also Read: OKB Price Rockets 110% After $26B Token Burn and OKX Blockchain Upgrade
Market Reaction: Price Volatility and Record Trading
The burn sparked extreme market activity, with OKB briefly surging from $46 to $142 before stabilizing around $96. Trading volume exploded over 13,000% to $723 million, while the token’s on-chain market capitalization now hovers near $2 billion. Analysts compared the move to Binance’s quarterly BNB burns, which often drive short-term price spikes. Flashbots Strategy Lead Hasu noted that sudden supply contractions can mislead traders, fueling rapid but temporary rallies.
OKX’s massive OKB burn and tokenomics reset highlight a bold strategy focused on scarcity and ecosystem consolidation. By permanently reducing supply and decommissioning OKTChain, the exchange aims to strengthen OKB’s market position and create lasting value for holders.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses
I’m your translator between the financial Old World and the new frontier of crypto. After a career demystifying economics and markets, I enjoy elucidating crypto – from investment risks to earth-shaking potential. Let’s explore!
