OWN Token 1st Buyback and Burn Celebration!
On September 30, we successfully bought and burned a portion of the circulating supply of our token. Let us learn what is a Buyback and Burn Celebration and what are its benefits to our token and our Ownly community.
What is Buyback?
Buyback happens when a company buys its own cryptocurrency to decrease the overall circulating supply of their own token.
By doing so, they are raising demand and pushing for price growth. In short, buying back helps companies increase the value of their token which leads to a profitable cryptocurrency.
What is Coin Burning?
In the crypto world, companies use a burn mechanism to control the supply and demand chain and manage the volatility of the market.
Coin Burning means removing tokens or coins from circulation by sending them to addresses that have unobtainable private keys.
Crypto miners send these tokens to the space outside of the circulating supply. These make the tokens inaccessible for any transactions.
When these tokens are already removed from circulation, each remaining token becomes scarcer than before. This increases their value which is beneficial to the long-term token holders.
Ownly Buyback and Burn Celebration
According to Ownly CEO Ismael Jerusalem, we burned 2.5% of our hyper-deflationary token OWN last month.
“We bought back 122.5M of our token and added 127.5M from our wallet for a total of 250M OWN worth of $48,550 burned in our first buyback and burn program. The celebration reduced our initial total token supply of 10B to 9.75B”, said Jerusalem.
“We’re happy to say that our team hasn’t used or liquidated any of our token for operations because of the revenues from our NFT sales in the past months. Everything went by smoothly since our official launch last July,” he added.
“Aside from adding more utilities to our token, we’ll continue to hold buyback and burn celebrations every quarter,” Jerusalem stated.
Implementing a Buyback and Burn Celebration is an effective way to control a volatile digital market like cryptocurrency.
Other than ensuring price stability, it will push for tokens to have a continuous price growth pattern. And that will attract more interest in the crypto space which will lead to constant growth in the token’s ecosystem.
Writer’s Note: This post was originally published on September 7 but has been updated on October 15 to add further details of the Buyback and Burn Celebration
If you are interested in learning more about Ownly, check out our site here: https://ownly.io/
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