Huobi Global, one of the world’s largest cryptocurrency exchanges, announced Friday that it burned over $35 million in tokens in August. The increase indicates that revenue increased significantly for the month.
Last month’s token burn on the exchange was 55% higher than in July.
Because total burn is positively correlated with revenue, an increase in token burn indicates an increase in revenue. Token burning is the process of removing crypto coins from circulation in order to keep inflation low.
Huobi told ULTCOIN365 that it burns 15% of its revenue and allocates 5% of its total income to repurchase and burn a portion of its Team Incentive Rewards.
The company recovered after burning only $22.3 million of its Huobi token in July, a 54% decrease from its total burn volume in June.
Huobi Global’s Director of Global Strategy, Jeff Mei, predicts that the crypto market will “continue to thaw in the coming months,” and that the company’s burn volume will rise steadily, according to a press release.
The exchange intends to increase its revenue through a series of incentive programs and PrimePool events that encourage asset staking on the platform. On September 2, Huobi launched its Futures Masters Contest, which offered a $120,000 prize pool.