Step's 3.5-Year Anniversary: Burning 35% of $STEP Token Supply

Step's 3.5-Year Anniversary: Burning 35% of $STEP Token Supply

In celebration of 3.5 years since its launch, Step Finance is taking a bold move by burning 35% of the total $STEP token supply, equivalent to 192 million $STEP. This burn demonstrates a commitment to long-term sustainability and transparency, reducing the circulating supply and reinforcing trust in the community.

Why the Burn?

The 150 million $STEP tokens being burned were originally allocated in the community reserve at launch but never entered circulation. Step recognizes that many projects allocate large token reserves for vague purposes, leaving users to trust the team won’t misuse them.

Step avoided this dilemma by maintaining a healthy treasury in USDC and SOL, rather than selling tokens and diluting the supply. With a 10+ year burn rate, Step determined these reserve tokens were unnecessary, opting to burn them to reduce fully diluted valuation (FDV) and eliminate any lingering trust concerns.

Fee Wallet Tokens Burn

In addition to the community reserve burn, another 42 million $STEP tokens from the fee wallet will also be burned. These tokens were acquired through Step’s buyback model off the open market since June. After receiving positive community feedback following a previous burn of 50 million buyback tokens, Step decided to continue this approach.

What This Means for Holders

• Total Burn: A combined 192 million $STEP tokens will be removed from supply.
• Circulation Impact: After the burn, 90% of all $STEP supply will be in circulation, potentially boosting liquidity and value for holders.
• Transparency and Trust: By eliminating reserve tokens, Step removes the need for trust in the team regarding token management, reinforcing its commitment to transparency.

Conclusion

By burning 35% of its token supply, Step Finance takes a significant stride toward greater sustainability and transparency. With fewer tokens outstanding and no team-controlled reserves looming overhead, Step’s long-term roadmap appears more secure, paving the way for future growth and stability.

For more updates on Step and its ongoing innovations, visit Step Finance.