Bitget, a leading cryptocurrency exchange and Web3 innovator, has announced a major development in the tokenomics of its native asset, Bitget Token (BGB).
In a move designed to enhance transparency and value sustainability, Bitget will implement a new utility-based token burn model.
The new system links the amount of BGB burned each quarter to actual on-chain activity, specifically, how much BGB is used as gas fees via the Bitget Wallet’s GetGas accounts.
The development marks a significant shift from fixed or discretionary burn models toward one grounded in measurable utility, positioning BGB as a pivotal asset in bridging centralized and decentralized ecosystems.
First Quarterly Burn Under New Mechanism to Destroy Over 30 Million BGB
Under this updated framework, Bitget will burn a total of 30,006,905 BGB in Q1 2025, worth approximately $120 million at current market rates.
The figure is derived from the new formula, which factors in the amount of BGB used for gas fees (6,943.63 BGB in Q1), the token’s quarterly average price, and several predefined constants.
Bitget has emphasized that all relevant burn data, including transaction records and wallet addresses, will be made publicly accessible via on-chain explorers, ensuring full transparency and community trust.
Strategic Tokenomics Strengthen BGB’s Utility and Long-Term Value
According to Bitget CEO Gracy Chen, this evolution in BGB’s token burn mechanism incentivizes genuine usage, enhances token value, and supports a more sustainable economic model.
BGB is deeply embedded in the Bitget ecosystem, serving multiple purposes across centralized exchange utilities and decentralized applications.
Users can stake BGB for passive income, participate in high-potential Web3 project launches, and access premium platform features like Launchpool, Launchpad, and VIP-level privileges.
Additionally, BGB acts as a multi-chain gas token within the Bitget Wallet, underlining its practical on-chain utility.
These features, paired with a dynamic burn model, are expected to drive adoption and reinforce BGB’s role in the evolving crypto economy.
Price Activity and Historical Performance Showroom BGB’s Impact
Despite today’s -2.33% dip in price and a -11.27% drop over the past seven days, BGB maintains a strong market position with a circulating supply of 1.2 billion tokens and a market cap of nearly $4.88 billion.
Launched in July 2021 at $0.0585, BGB has delivered staggering gains, reaching an all-time high of $8.50 in December 2024, a more than 100x increase from launch.
Earlier this year, Bitget permanently burned 800 million team-held BGB, reducing the total supply to 1.2 billion and placing 100% in public circulation.Â
The historic burn and the upcoming utility-driven one both reflect Bitget’s commitment to scarcity-driven value appreciation and decentralized financial transparency.
As speculation builds ahead of the burn, many are watching closely to see whether BGB’s price will rally once more.