Burn

In the cryptocurrency space, the term Burn refers to a process in which cryptocurrency coins or tokens are intentionally and permanently removed from the Circulating Supply (usually by the developers of the particular coin or token).

A coin or token Burn is usually carried out with a variety of objectives – but the main reason is regularly a deflationary purpose. By reducing the circulating supply of a cryptocurrency, the price tends to increase, providing investors with a financial incentive to buy the cryptocurrency in question.

See also: Blockchain Explorer, Market Cap.