Bonk Burns Project Team Token Allocation, Price Still Declining

As announced, approximately 5% of the BONK supply has been removed from circulation, while the token's price has fallen by 30% in the past 24 hours.

Bonk Inu Burns Project Team Token Allocation – BONK Price Recovers Over 100%

The team behind the Solana memecoin sensation, Bonk Inu, has burned over 5 trillion BONK tokens, which equates to 5% of the total supply allocated to the project team, according to blockchain data.

$BONK represents the best of Solana. Our community is working together across the ecosystem to make positive change for all of us.

The 5 trillion $BONK tokens allocated to “The Team” have been burned. Tweet

In the past 24 hours, both centralized exchanges (like Gate.io) and decentralized platforms (such as CremaFinance) have been actively promoting BONK trading events and NFT minting for users.

According to Dune Analytics, over 3 million BONK transactions have been conducted in the last 3 days. The number of wallets holding BONK has surpassed 86,000 as of January 6, marking more than a threefold increase from the beginning of the week.

However, profit-taking and exchanges like Bybit offering futures contracts have curtailed BONK's rally, which has surged over 1,300% this week. BONK’s price has since retraced to about $0.000002033 as of January 5, according to CoinMarketCap. The market capitalization for the 24-hour period has remained nearly stagnant at $98 million, with trading volume dropping nearly 17% in the same timeframe.

BONK Price Movements on January 7, 2023, Screenshot from CoinMarketCap

As reported by Coin68, Bonk conducted a “generous” airdrop of 50% of its token supply to Solana users under very simple conditions. 20% of the total supply was allocated to holders of NFT collections on Solana, including over 297,000 individual NFTs. Another 10% was distributed to those who contributed to the development and expansion of NFTs. Meanwhile, platform developers received 5% of the BONK tokens.

The airdrop turned BONK into a standout asset within the ecosystem since the market was engulfed by the FTX crisis. Liquidity pools on Solana DEXs like Orca attracted over $20 million in volume from BONK-related trading pairs and thousands of dollars in fees. Data from Orca shows that the trading volume for the BONK/SOL pair has reached over $14 million, while the BONK/USD pair has hit $6.2 million.

BONK is a typical dog-themed memecoin, similar to Dogecoin (DOGE) and Shiba Inu (SHIB), with no clear direction. The development team created the project out of frustration with the toxic tokenomics from funds like Alameda, aiming to provide a fair opportunity for everyone. The project recently released a Whitepaper, but it is somewhat cursory and lacking in detail.