OKEx Continues Their Ongoing OKB Token Buyback

Cryptocurrency exchange OKEx announced the eighth round of buyback for its platform's proprietary OKB token.

In a June 5 announcement, OKEx announced the start of the eighth and largest buyback of OKB tokens.

From March 1 until May 31, the exchange bought and burned over 3.5 million OKB tokens, which at its current price of $5.35, translates to a total value of over $18.7 million.

OKEx's OKB buyback initiative was launched in early May 2019, when there were still 300 million of the tokens in circulation.

After this last burn, a total of over 20.67 million OKB tokens were burned.

All the burns result in a current total number of tokens in circulation under 280 million OKB, for a market cap just short of $321 million.

The burned tokens are sent to what OKEx fittingly calls a "Black-hole address."

Per the announcement, the purpose of the burns is not to influence the token's price, but to instead encourage the development of an ecosystem based on OKB. In February 2020 OKEx also burned 700 million of unissued OKB tokens and promised to not issue any more tokens.

"This [decision] converted the OKB token into a fully deflationary token as well as the world's first fully circulating platform token."

In the future, OKEx promises that the tokens will be moved to their native blockchain, OKChain, but so far there's just a test network.