There were 105 billion Stellar Lumens until the end of October 2019. The Stellar Development Foundation (SDF) announced a week later that, it had burnt (destroyed) more than 55 billion of those.
Crypto burning is a process used to reduce the total number of available crypto coins. The most common reason for doing this is to increase the value of the remaining coins. It is simple economics that, scarcity generates an increase in price. This of course presumes that there is sufficient demand for the ‘product’.
SDF announced that the remaining 50 billion Lumens could now be managed more efficiently. Work would proceed to increase usage of the crypto, this would in turn generate more demand for Lumens. With supply having fallen by over 50%, pressure would be exerted on the price – this would cause the price of Lumens to move up.
The process of crypto burning involves sending a specific number of coins to an ‘eater address’, the coins become inaccessible once this happens. The ‘eater address’ is often referred to as a ‘black hole’. The private keys to the ‘eater address’ or ‘black hole’ are not available to anyone.
There is always an audit trail of the number coins burnt, the information is stored on a blockchain and is verifiable.
GLITZKOIN: Glitzkoin is developed on the Stellar blockchain. The project includes the multifaceted GTN token that currently trades actively on 3 crypto exchanges (Cointiger, Stellarport and Dobitrade). Glitzkoin makes a direct connect to the multibillion dollar diamond industry. The project is promoted by second generation diamond veteran Navneet Goenka, it aims to improve productivity and market scope for the glittering industry. A comprehensive diamond trading platform (DiaEx) is part of the project, it supports both B2B and B2C trade in diamonds. As mentioned above GTN is traded by crypto traders on three exchanges, it is also designated as the mode of payment on DiaEx.