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  1. Home
  2. /Glossary
  3. /Burn
Back to Glossary
cryptocurrency

Burn

Permanently removing tokens from circulation by sending them to an unusable wallet address.

Definition

Permanently removing tokens from circulation by sending them to an unusable wallet address. Projects burn tokens to reduce supply and theoretically increase value of remaining tokens. Ethereum burns a portion of transaction fees since EIP-1559.

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Related Terms

Token

A digital asset created on an existing blockchain rather than its own chain.

Address Poisoning

A scam where attackers send tiny transactions from addresses that look similar to ones you've interacted with, hoping you'll accidentally copy the wrong address from your transaction history.

AI x Crypto

The intersection of artificial intelligence and blockchain technology.

Airdrop

A marketing strategy where crypto projects distribute free tokens to wallet addresses.

Airdrop Farming

Strategically using protocols before they launch a token to qualify for free airdrops.

Alpha

Valuable, non-public information or insights that give you a trading edge.

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