Hello HIVE. @buynburn is a brand new account that I created for the purpose of burning alt-coins on HIVE-Engine.
One burns a coin by sending the coin to @null. Since there is no way to pull funds out of @null, the system considers the coins lost forever and decrements the value of the coins from the official coin count.
Burning coins reduces the float. Reducing the coins floating on the market can improve the price of a coin.
Since burning coins reduces the float for a coin, it is seen as a good way of rewarding a community.
A HIVE user can create a "burn post" by setting the beneficiary of the post to @null. The PeakD interface includes such a feature.
A burn post will burn the author rewards for the post while preserving the curation posts.
The interface marks burn posts with a little burn emoji.
I plan to do something different. I am not using this feature.
The Value of Burn Posts
Some times authors create burn posts because they want to emphasize that they are writing the post for reasons other than monetary rewards. Some times people auto burn coins to emphasize that a post is for the tribe.
Burning Alt Coins
The system will send the alt-coins referenced by a post to @null. You can see the total number of coins by examining the wallet of the @null account.
https://peakd.com/@null/wallet/hive-engine
The automated burn program burns alt-coin. Unfortunately, the amount of alt-coins burnt is based on the coins in the curator's post. Most curators have more HIVE in their wallet than alt coins.
The Build A Whale Burn
The account @buildawhale has been publishing a series of burn posts for the last several years.
I've followed their effort. They have burned several thousand HIVE to date.
Unfortunately, their program burns only a few alt coins.
Burning and Liquidity
If you examined the HE Tokens page; you will find that many of the coins have a low daily volume.
Burning a post reduces the float of a coin on the market. While a straight burn reduces the float of a coin, it does nothing to help with the liquidity problem.
The only way to solve the liquidity problem is for some poor schmuck to buy the coins.
IMHO: Buying and then burning the alt-coins will do more for Hive Engine than a pure burn.
I Want to Burn Alt-Coins
I decided that I wanted a way to burn alt coins.
I wrote posts on my primary account ( @yintercept ). The posts promised to use all proceeds to burn alt-coins.
The problem with this approach is that the post confused my efforts to accumulate coins with my desire to burn alt-coins.
I realized that the best way to fill my burning desires would be to create a dedicated account. While the separate account does not eliminate the possibility of malfeasance, it is possible to audit the account.
Auditors can examine use the Hive Engine Explorer to examine the transactions of the account and unroot any fraudulent activities
https://he.dtools.dev/@buynburn
I am sure that there are witnesses who would gleefully downvote my primary account into oblivion if I transferred money out of a dedicated burn account into my account.
How I will Benefit from the Burn
Everyone who exercises regularly knows that there is a benefit to the burn.
I've been trading HE coins since the inception of the platform. I tally up my coins on the first of the month.
I am actively trading many of the coins that @buynburn will be buying; so I will receive an indirect benefit from this effort.
The benefit is marginal.
Of course, if I was Donald I am certain that I would be indicted by a New York Grand Jury for having a burn program on the same platform on which I am actively trading coins.
Votes ... Not Delegation
This account will not do any voting; so it does not need a delegation.
I am hoping that people wiil upvote this post. I will use the proceeds from the upvote to buy coins on HE engine which I will later burn.
I Am Not Burning HIVE or HBD
I will use the HBD rewards from the program to buy and burn coins. The reason for this is that the witnesses are wanting the market cap of HBD to increase. Burning HBD or Hive undermines this effort.
Tracking the Burn
I will write weekly post to track the burn. I will summarize the burn on my personal home page.
It takes seven days to receive the rewards for a post. So I won't do anything until next week.
Let Me Know Which Coins You Want to See Burn
Let me know the coins which you want to see burn. Also tell me if their are coins which you want me to ignore.