OKX burns $258M of OKB tokens in record move.

The cryptocurrency exchange OKX intentionally destroyed more than $258 million worth of its own OKB tokens between March and May. This move was planned and caused the token’s value to increase while the broader cryptocurrency market remained mostly unchanged.

On Friday, OKX released a report on the token buy-back and burn, stating that, “In this round, the total number of OKB bought back and burned from the secondary market was 5,497,312.77 OKB.”

As details of the completed burn were released, the value of OKB tokens rose from $44 to $45. Over the past 24 hours, the token’s value has increased by 1.4%. Currently, the token has a market capitalization of over $2.6 billion.

The buy-and-burn program began in May 2019, when OKX began purchasing OKB tokens quarterly from the original supply of 300,000,000 based on seasonal market and operating performance.

The term “burn” refers to the permanent deletion of tokens from the circulating supply by sending them to a wallet address that is controlled by no one. Over time, a decrease in supply can lead to price increases for tokens if demand continues to rise.

This article was edited by Sheldon Reback.