Bitget Token Merger and Burn Increases BGB by 22%, Reaching New ATH

Bitget, a Seychelles-based crypto exchange, has unified its native cryptocurrencies, Bitget Token (BGB) and Bitget Wallet Token (BWB), into a single utility token, BGB.

The move has caused an impressive 22% increase in the price of Bitget Token in the last 24 hours, taking it to an all-time high (ATH) of $8.45.

Furthermore, the company revealed that will burn a whopping $5 billion worth of BGB tokens in a recently unveiled white paper.

Token merger generates excitement in the market

At the time of writing, data from CoinGecko showed that the asset’s value had risen more than 125% in the last seven days, outperforming the global crypto market, which lost 1.50% of its value in that period. Additionally, it has fared better than similar centralized exchange (CEX) tokens, which are up around 12.70% on average.

The rally is even more pronounced over longer periods, with BGB jumping more than 160% in the last fortnight and almost 430% in 30 days. Additionally, the token’s current price marks a massive 1,346.2% improvement from its level over the same period last year, potentially making it the best-performing CEX cryptocurrency of 2024.

BGB’s current market capitalization of over $11.7 billion has propelled it to the 19th position among the largest capitalized cryptocurrencies, surpassing Stellar (XLM), Polkadot (DOT), and Hedera (HBAR).

In addition to the merger, the team revealed a considerable burn of over $5 billion worth of tokens, which surely influenced the price rise. This represents more than 40% of the total BGB supply.

Integration of public and real-world services

According to Bitget CEO Gary Chen, the fusion will grow the utility of BGB, with plans to use it in decentralized applications (dApps) and major blockchain ecosystems. The integration will also reportedly extend to participation in decentralized finance (DeFi) protocols and powering essential services such as multi-chain gas fee payments.

Beyond blockchain, the exchange aims to position BGB as a key enabler of real-world applications by enabling payments for dining, travel and shopping, among others, through its Web3 PayFi service.

The company has assured BWB holders that their assets will move to BGB through an automated exchange process that will convert each BWB token to BGB at a predetermined ratio. Any remaining BWB has been earmarked for burning to reinforce the scarcity and long-term value of the unified asset.