What is Token Burning in Crypto?

If you are a beginner and an ETH fan/owner but you don't really understand what Token Burning is, here's a video that explains just that with real-life examples so that you can grasp the meaning of this crypto concept.

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Token burning is the process through which coins are purposely and permanently removed from the circulating supply.

It is typically performed by the development team which can also buy back tokens and burn them.

It involves parts of the supply that are already available, such as unallocated tokens or those that are stored in the team’s Treasury.

Some companies burn tokens regularly, while others do so as a one-off event.

For example, in the summer of 2021, Ethereum introduced a burning token system to the network in order to solve the eternal problem of high gas fees. By November, 1 million ETH were burned. Unlike Bitcoin, Ethereum doesn’t have a limited supply, but it does have an annual maximum supply of 18 million ETH.

https://youtu.be/EvgR4aACp5A

Did You Know in 2021? Bitcoin surpassed $1T in market value for the first time ever on February 19. This event helped to ensure the narrative that BTC is really digital gold.

https://i.redd.it/ynnktdli6s981.jpg

Crypto For Beginners workshop

Hey Frens,

Thanks for everyone who came out to my last workshop a few weeks ago. Some people commented saying they couldn't make that one, so here's a link to our next one for those who are interested. We'll be covering Ethereum, Bitcoin, Solana, and how to get started if you're a total beginner.

Hope to see some of you there!

https://www.meetup.com/crypto-and-nfts-for-beginners/events/283107674/

~BZ

Who is this? Model looks, possibly pics of someone involved in Australian news? lives in Sydney and LA

So I think I am getting catfished by:

https://imgur.com/a/ttBJhSc

Tries to make stupid small talk on FB messenger. Has hints of bitcoin in her photos and likes. Is avoiding any sketchy crypto talks so far, just trying to be flirty. Seems like a scam and I am trying to figure out who is in these pics but its possible its AI produced. I was not able to get hits on tin eye or google images.

Her profile makes it sound like she spends time in Sydney and Los Angeles. Some of the pics have her with a microphone which looks like its some car racing event and says SxS on the microphone I think.

To the apes who came in AFTER the January sneeze—what made you decide to invest?

A lot of us (including myself) first invested in GameStop due to the craziness of the events in mid-late January 2021. I saw some weird shit on the bets sub, looked into it, saw that GME was at $30 up from like $8. I still didn’t bite. Eventually, I noticed even more commotion about the stock on Reddit, so I looked up the price. $80! It was at $30 like a couple days ago! That’s when I really looked into the thesis, and that same day I decided to invest.

I remember getting in at $90, then watching the price go into the hundreds…then just as swiftly falling back down to $80. That’s when I told my brother about it, and he threw some money at it. I also told my dad about it, but he said he didn’t need to add any more risk to his portfolio (he’s a 2017 Bitcoin guy). Of course once he saw the price hit $300, he just couldn’t help himself. He put in 300k lol. No bullshit.

Over the next few days we watched the price go up to 480…and then down again. He held all the way until around $60…and then he sold. Ouch. I guess that’s what happens when you invest purely on FOMO. Luckily, I doubled down right after I saw DFV do it. Not NEARLY as much as 300k, but still, it was a large amount for me…and the rest is history :)

I know a lot of us have somewhat similar stories, but I’m mostly interested in the apes who came in later. What made you decide to pull the trigger? Was it the OG GME sub? Was it SuperStonk? Or did someone convince you in person? I’d also love to hear from the January apes, too. I’m just curious as to how we all took different paths and ended up in the same boat.

US Inflation Jumps Most in 40 Years, Bitcoin, Ethereum Gain

In December, monthly inflation in the US was a bit higher than expected, reaching 0.5%, while the annual inflation increased to 7% and was the same as expected.

Economists expected that the consumer price index (CPI), a key measure of consumer prices released by the US Labor Department, will show that inflation jumped by 0.4% in December and 7% year-over-year – the highest increase in prices since 1982.

Bitcoin (BTC) moved up after the numbers were released, jumping from USD 43,400 to USD 43,900 in several minutes, and increasing its daily gains to around 5%. Ethereum (ETH) also moved up, surpassing USD 3,375 and increasing daily gains to 8%. While economists disagree on when inflation will peak, it’s well past the initial time frame the Federal Reserve (Fed) had expected to see.

“You’ve got the Fed in panic instead of patient mode, so the risk is overshooting... We’re now in a position of the Fed chasing instead of anticipating. It’s worrisome,” Diane Swonk, Chief Economist at Grant Thornton, told CNBC.

According to Marcus Sotiriou, an analyst at the UKUK-based based digital asset broker GlobalBlock, there may be a selloff in the crypto market if the inflation numbers are larger than expected. This, however, shouldn’t be a long event, “as I suspect the market has already priced in the worst-case scenario due to the persistent selling recently,” he wrote in an emailed note before the CPI numbers were released.

Sotiriou argued that the on-chain data is “generally bullish,” and that it suggests that these prices could be a buying opportunity, adding:

“Bitcoin has entered the buy zone for dormancy flow, which has only flashed 5 times in Bitcoin’s history, which all lead to incredible rallies. This indicator compares Bitcoin’s market cap to the annual value of destruction – in layman’s terms it compares price to spending behavior. As the percentage of people spending their bitcoin is so low. It shows the sentiment of investors, unwilling to sell their bitcoin at this price.”

As reported, yesterday, Federal Reserve Chairman Jerome Powell said during his confirmation hearing that ‘we probably remain in an era of very low interest rates.’

Should he be given another term, argues the founder and CEO of Quantum Economics Mati Greenspan, Powell “will retain his position as the key figure at the helm of the great money printer.” Rather than the statements, it is his “boring presence on the stage” and his “familiar monotonous message” of the economy being able to handle the COVID 19’s Omicron variant while gradually reducing quantitative easing and preparing to eventually raise interest rates – that helped alleviate investors’ concerns and put them at ease.

“It's also important to keep in mind that the markets have declined a lot lately, so they are more than due for an upside correction,” Greenspan wrote.

Meanwhile, in China, the inflation came in lower than expected. China's annual inflation rate fell to 1.5% in December 2021 from a 15-month high of 2.3% a month earlier. The latest reading was less than the market consensus of 1.8%, per Trading Economics data. Reuters noted that, in the case of this country, the “slower-than-expected December producer inflation made room for more monetary easing.”

Here’s a look at price increase in various sectors in last year :-

Price increases over last year (CPI report)... Gasoline: +49.6% Used Cars: +37.3% Gas Utilities: +24.1% Meats/Fish/Eggs: +12.5% New Cars: +11.8% Overall CPI: +7% Food at home: +6.5% Electricity: +6.3% Food away from home: +6.0% Apparel: +5.8% Transportation: +4.2% Shelter: +4.1%

Source:- CryptoNews

US Inflation Jumps Most in 40 Years, Crypto Gains

In December, monthly inflation in the US was a bit higher than expected, reaching 0.5%, while the annual inflation increased to 7% and was the same as expected.

Economists expected that the consumer price index (CPI), a key measure of consumer prices released by the US Labor Department, will show that inflation jumped by 0.4% in December and 7% year-over-year – the highest increase in prices since 1982.

Bitcoin (BTC) moved up after the numbers were released, jumping from USD 43,400 to USD 43,900 in several minutes, and increasing its daily gains to around 5%. Ethereum (ETH) also moved up, surpassing USD 3,375 and increasing daily gains to 8%.

While economists disagree on when inflation will peak, it’s well past the initial time frame the Federal Reserve (Fed) had expected to see.

“You’ve got the Fed in panic instead of patient mode, so the risk is overshooting... We’re now in a position of the Fed chasing instead of anticipating. It’s worrisome,” Diane Swonk, Chief Economist at Grant Thornton, told CNBC.

According to Marcus Sotiriou, an analyst at the UKUK-based based digital asset broker GlobalBlock, there may be a selloff in the crypto market if the inflation numbers are larger than expected. This, however, shouldn’t be a long event, “as I suspect the market has already priced in the worst-case scenario due to the persistent selling recently,” he wrote in an emailed note before the CPI numbers were released.

Sotiriou argued that the on-chain data is “generally bullish,” and that it suggests that these prices could be a buying opportunity, adding:

“Bitcoin has entered the buy zone for dormancy flow, which has only flashed 5 times in Bitcoin’s history, which all lead to incredible rallies. This indicator compares Bitcoin’s market cap to the annual value of destruction – in layman’s terms it compares price to spending behavior. As the percentage of people spending their bitcoin is so low. It shows the sentiment of investors, unwilling to sell their bitcoin at this price.”

As reported, yesterday, Federal Reserve Chairman Jerome Powell said during his confirmation hearing that ‘we probably remain in an era of very low interest rates.’

Should he be given another term, argues the founder and CEO of Quantum Economics Mati Greenspan, Powell “will retain his position as the key figure at the helm of the great money printer.” Rather than the statements, it is his “boring presence on the stage” and his “familiar monotonous message” of the economy being able to handle the COVID 19’s Omicron variant while gradually reducing quantitative easing and preparing to eventually raise interest rates – that helped alleviate investors’ concerns and put them at ease.

“It's also important to keep in mind that the markets have declined a lot lately, so they are more than due for an upside correction,” Greenspan wrote.

Meanwhile, in China, the inflation came in lower than expected. China's annual inflation rate fell to 1.5% in December 2021 from a 15-month high of 2.3% a month earlier. The latest reading was less than the market consensus of 1.8%, per Trading Economics data. Reuters noted that, in the case of this country, the “slower-than-expected December producer inflation made room for more monetary easing.”

Price increases over last year (CPI report)... Gasoline: +49.6% Used Cars: +37.3% Gas Utilities: +24.1% Meats/Fish/Eggs: +12.5% New Cars: +11.8% Overall CPI: +7% Food at home: +6.5% Electricity: +6.3% Food away from home: +6.0% Apparel: +5.8% Transportation: +4.2% Shelter: +4.1%

Source:- CryptoNews