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📚 Glossary Term
토큰 소각 (Token Burn)
접근 불가능한 소각 전용 주소로 토큰을 전송하여 전체 유통 공급량에서 영구히 제거하는 디플레이션 메커니즘.
BeginnerGeneralCrypto Terminology
토큰 소각 (Token Burn): what is it?
접근 불가능한 소각 전용 주소로 토큰을 전송하여 전체 유통 공급량에서 영구히 제거하는 디플레이션 메커니즘.
🎯 Key Takeaways & Use Cases
✓Burning is the permanent removal of tokens from circulation.
✓Uses unspendable addresses (burn addresses) on Solana blockchain.
✓Supports deflationary or scarcity-driven project strategies.
✓Burn events are transparent, public, and can be verified on-chain.
✓Utilized in DeFi protocols, NFT collections, and DAO governance on Solana.
💡 Real-World Examples
A meme coin on Solana sends 10% of transaction fees to the burn address at each swap.
Solana NFT project burns tokens as part of a limited edition reveal event.
DeFi protocol on Solana burns unclaimed rewards after a staking period ends.
⚡ Pro Trading Tips
▸Always verify burn addresses on the official project site or documentation.
▸Use Solana explorers to track and confirm burn transactions.
▸Don’t mistake accidental transfers to incorrect addresses as intentional burns.