WEEX Token (WXT) Burns: $120 Million Milestone and Future Plans

By: WEEX|2025-05-09 00:00:00
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What Is WEEX WXT ?

WEEX Token (WXT) is the native cryptocurrency of the WEEX exchange, a top-10 global derivatives trading platform with over 5 million users. Launched in August 2023, WXT powers the WEEX ecosystem, offering benefits like up to 70% trading fee discounts, WE-Launch airdrops, and staking rewards. On January 30, 2025, WEEX completed its first-ever token burn, destroying 4 billion WXT tokens—40% of the total supply—valued at $120 million. This milestone, coupled with plans for quarterly burns, positions WXT as a deflationary asset with significant growth potential, drawing comparisons to Binance’s BNB and Bitget’s BGB.

WXT is the native token of WEEX, a crypto exchange launched in 2018 known for its secure and beginner-friendly trading experience, especially in futures. Built on Ethereum as an ERC-20 token, WXT fuels the entire WEEX ecosystem by rewarding users, partners, and the community. Holders enjoy benefits like lower trading fees, access to exclusive airdrops, and high-yield staking opportunities.

Since its launch, WXT has reached an all-time high of $0.03391. With a total supply capped at 6 billion tokens, it also follows a deflationary model—regularly reducing its supply to support long-term value growth.

For more details, explore the WEEX WXT whitepaper and about WEEX page

WEEX Token (WXT) Burns: src=

What is A Coin Burn and What is WXT Burns?

A token burn is the permanent removal of a cryptocurrency’s tokens from circulation, typically by sending them to an inaccessible wallet address. This reduces the total supply, increasing scarcity and potentially boosting the token’s value. For platform tokens like WXT, burns align user interests with the exchange’s growth by:

  • Enhancing Scarcity: Fewer tokens can drive demand and price appreciation.
  • Signaling Confidence: Burns demonstrates the platform’s commitment to long-term value.
  • Rewarding Holders: Reduced supply benefits existing investors.

WEEX’s burn strategy mirrors successful models like Binance’s BNB, which burned $1.16 billion in its 30th quarterly burn, and Bitget’s BGB, with a planned $5 billion burn.

For more details on how a coin burn works, check out WXT’s Burn Mechanism.

WEEX’s First-Ever WXT Burn: $120 Million Milestone

On January 30, 2025, WEEX executed a historic burn, destroying 4 billion WXT tokens—40% of the initial 10 billion total supply—reducing the circulating supply to 6 billion. Valued at $120 million, this burn was one of the largest initial burns among platform tokens, signaling WEEX’s aggressive approach to value creation. Key details include:

  • Transparency: The burn was recorded on-chain, ensuring verifiable proof of destruction.
  • Market ImpactWXT’s price surged 384% since its launch at $0.01 in August 2023, reaching $0.0339, reflecting growing market confidence.
  • Comparison: Binance’s 30th BNB burn removed 1.63 million tokens ($1.16 billion), while Bitget’s BGB burn plan targets over $5 billion. WEEX’s 40% reduction is notably bold for a newer platform.

This burn aligns with WEEX’s whitepaper, updated in January 2025, which emphasizes a deflationary model to enhance WXT’s utility and scarcity. Here’s the brief step-by-step on how to buy WXT on WEEX.

WXT Token

WXT Quarterly Burn: A Sustainable Strategy

WEEX has committed to ongoing quarterly burns starting in 2025, allocating 20% of its quarterly revenue—derived from spot and futures trading fees and listing fees—to repurchase and burn WXT tokens. This systematic approach ensures:

  • Deflationary Pressure: Regular burns reduce supply over time, supporting long-term value.
  • Revenue Alignment: Linking burns to profits incentivizes platform growth and sustainability.
  • Transparency: Each burn is recorded on-chain, with quantities and records publicly announced.

For example, with WEEX’s daily trading volume exceeding $20 billion, the quarterly revenue allocation could significantly reduce WXT’s supply, further enhancing scarcity. This strategy draws inspiration from Binance’s quarterly BNB burns, which have reduced BNB’s supply by over 30% since 2017.

Benefits of WXT Burns for Holders

The WXT burn mechanism directly benefits holders by increasing the token’s value proposition within the WEEX ecosystem. Key advantages include:

  • Increased Scarcity: With 40% of the supply already burned and more to follow, WXT becomes rarer, potentially driving price growth.
  • Enhanced Utility: WXT holders enjoy:
    • Up to 70% discounts on futures trading fees.
    • Access to WE-Launch airdrops, such as 500,000 DOGS tokens or past distributions of TRUMP and ZK tokens.
    • VIP privileges, higher referral commissions, and future governance voting rights.
  • Market Confidence: The $120 million burn and transparent on-chain records boost investor trust, as seen in WXT’s 384% price increase.
  • Long-Term Rewards: Quarterly burns align with WEEX’s growth, rewarding loyal users as the platform scales.

WEEX’s Ecosystem and WXT’s Role

Founded in 2018, WEEX has emerged as a global leader in cryptocurrency trading, with:

  • Daily Trading Volume: Over $20 billion, ranking among the top 10 derivatives exchanges.
  • User Base: More than 5 million registered users, supported by 10,000 star traders and 2,000 global influencers.
  • Security Audit: A 1,000 BTC protection fund.

WXT is integral to this ecosystem, powering:

  • Trading Fee Discounts: up to 30% off spot trading, up to 70% off derivatives.
  • WE-Launch Events: Airdrops and Launchpool rewards for new tokens.
  • Future Features: Planned integrations for cross-chain payments, NFT trading, and platform governance.

The burn mechanism enhances WXT’s role by ensuring its scarcity supports these utilities, making it a cornerstone of WEEX’s growth.

WXT Ecosystem

WXT Burn vs. BNB and BGB

WEEX’s burn strategy positions WXT as a strong contender among platform tokens. Here’s how it compares:

  • BNB (Binance): Binance’s 30th burn removed 1.63 million BNB ($1.16 billion), part of a long-term plan to burn 50% of its supply. BNB’s price rose over 10,000% since 2017, driven by burns and ecosystem expansion.
  • BGB (Bitget): Bitget announced a $5 billion BGB burn plan, aiming to reduce supply significantly. BGB’s price surged 1,500% since 2020.
  • WXT (WEEX): The $120 million burn (40% of supply) is a bold initial move, with quarterly burns tied to 20% of revenue. WXT’s 384% price increase since launch shows early success, but its newer status suggests higher growth potential.

WEEX’s focus on transparency, rapid ecosystem growth, and a deflationary model gives WXT a competitive edge, especially for early investors.

Conclusion

WEEX’s first-ever $120 million WXT burn, reducing the token supply by 40%, marks a pivotal step in its journey to become a leading platform token. With quarterly burns tied to 20% of exchange revenue, a transparent on-chain process, and a robust ecosystem, WXT is poised for significant growth, following the footsteps of BNB and BGB. As WEEX continues to innovate and expand its 5-million-user base, WXT offers a compelling opportunity for investors seeking high-potential platform tokens. Explore WXT today by visiting WEEX and stay updated on future burns!

Ready to join WXT’s journey? Register on WEEX today to grab your WXT and enjoy up to 70% off trading fees—start saving while you trade smarter!

FAQ

What was the WEEX WXT burn in January 2025?

WEEX burned 4 billion WXT tokens (40% of the total supply), valued at $120 million, on January 30, 2025, to increase scarcity and enhance value.

How does WEEX’s quarterly burn work?

WEEX allocates 20% of its quarterly revenue (from trading and listing fees) to repurchase and burn WXT, reducing supply and supporting long-term value.

How does the WXT burn benefit holders?

Burns reduce WXT’s supply, increasing scarcity and potentially boosting price, while holders enjoy trading fee discounts, airdrops, and VIP perks.

Is WXT a good investment after the burn?

WXT’s 384% price increase and deflationary model suggest growth potential, but investors should consider market volatility and regulatory risks.

Where can I track WXT burn events?

WEEX records all burns on-chain for transparency. Check WEEX’s official website or CoinMarketCap for updates. You can also track WXT’s price on the WEEX Token price chart.

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Do You Pay Tax on Crypto? Trading, Staking and Airdrops Explained

TL;DR

Do you pay tax on crypto without selling? Yes, in most cases, you owe crypto tax even if you don’t cash out.Do you pay tax on crypto trading? Yes. Buying, selling, or swapping crypto (ETH to BTC) can trigger capital gains tax.How is crypto trading taxed? Profits are usually taxed as capital gains, but frequent trading or futures trading may be treated as business income.Is staking taxable? Yes. Crypto staking rewards are taxed as income when received, and taxed again as capital gains when sold.Are crypto airdrops taxable? Yes. Airdrops are taxable income at the time you receive them, even if you don’t sell.When do you owe crypto taxes? When you trade, earn, or receive crypto — not just when you withdraw to fiat.What are common crypto tax mistakes? Not tracking trades, ignoring staking rewards, and assuming no tax without withdrawal.How to report crypto taxes easily? Export your data from WEEX and use crypto tax software like KoinX to generate reports.

Most crypto users assume one thing: If you haven't withdrawn your funds, you don't owe any tax.

It sounds logical , but in most cases, it's wrong.

As crypto markets evolve, tax rules have become clearer and stricter. What matters is not whether you cash out, but how you interact with your assets. Trading, earning, or even receiving tokens can all trigger taxable events, often without you realizing it.

So when exactly do you pay tax on crypto? The answer depends on what you do.

Do You Pay Tax on Crypto Trading? Even Without Cashing Out

The most common misconception is that taxes only apply when you convert crypto into fiat.

In reality, tax authorities in many countries treat any disposal of crypto as a taxable event. This includes not only selling for cash, but also swapping one asset for another.

If you trade ETH for BTC, you may still need to calculate your gain — even though no money ever leaves the crypto ecosystem.

What matters is whether you realized a profit.

If the value of your asset increased between the time you acquired it and the time you traded or sold it, that difference is typically taxed as a gain. Losses may also be recognized, depending on local rules.

For active traders, especially those using futures or trading frequently, things can become more complex. In some cases, trading activity may even be treated as business income rather than capital gains, which can significantly change how it is taxed.

Is Staking Taxable? When and How Rewards Are Taxed

Staking is often described as passive income, but from a tax perspective, it’s rarely that simple.

In most jurisdictions, staking rewards are treated as income at the moment you receive them, based on their market value at that time.

This means you may owe tax even if you never sell your rewards.

And that’s only the first layer.

If you later sell those tokens at a higher price, the additional profit is taxed again — this time as a capital gain.

This dual structure — income first, gains later — is one of the most commonly misunderstood aspects of crypto taxation, and a frequent source of reporting errors.

Are Crypto Airdrops Taxable? What Counts as Income

Airdrops feel like free money. From a tax perspective, they usually aren’t.

In many cases, airdropped tokens are treated as income once you have control over them and they have a measurable market value.

That means the moment you can claim or access the tokens, their value may already be taxable — regardless of whether you sell them.

If you later sell at a higher price, the difference is taxed again as a gain.

Like staking, airdrops often create two separate tax events:

one when you receive the tokens, and another when you dispose of them.

Crypto Tax Mistakes That Can Cost You Money

The rules themselves are not always complicated — but applying them correctly can be.

Many users assume that staying within crypto avoids tax, overlook income from staking or airdrops, or fail to track the original cost of their assets across multiple trades.

As activity increases, especially across different assets and strategies, keeping accurate records becomes significantly harder. Without proper tracking, it’s easy to either underreport — or overpay.

When Do You Actually Owe Crypto Taxes? Key Takeaways

Crypto taxation is not just about how much you earn. It’s about when and how those earnings are realized.

Trading, staking, and airdrops are taxed in different ways, often at different points in time. And in many cases, tax obligations arise long before any funds are withdrawn.

The key takeaway is simple:

If you are actively participating in the crypto market, you are very likely generating taxable events — whether you notice them or not.

Understanding this early makes it easier to stay compliant, avoid costly mistakes, and make better decisions as your trading activity grows.

How to Report Crypto Taxes on WEEX: A Simple Step-by-Step Guide

Understanding how crypto is taxed is only half the process — reporting it correctly is where it gets more complex.

As your activity grows, especially across trading, staking, and rewards, keeping track of every transaction manually can quickly become overwhelming. Using a platform where your trading history is organized and easily exportable can make a meaningful difference when it comes to filing.

For a step-by-step guide on how to track and report your crypto taxes, read the full tutorial here:

WEEX Crypto Tax Guide: How to Export Trading Data and Generate a Tax Report with KoinX

About WEEX

Founded in 2018, WEEX has developed into a global crypto exchange with over 6.2 million users across more than 150 countries. The platform emphasizes security, liquidity, and usability, providing over 1,200 spot trading pairs and offering up to 400x leverage in crypto futures trading. In addition to the traditional spot and derivatives markets, WEEX is expanding rapidly in the AI era — delivering real-time AI news, empowering users with AI trading tools, and exploring innovative trade-to-earn models that make intelligent trading more accessible to everyone. Its 1,000 BTC Protection Fund further strengthens asset safety and transparency, while features such as copy trading and advanced trading tools allow users to follow professional traders and experience a more efficient, intelligent trading journey.

Follow WEEX on social media:

· Instagram: @WEEX Exchange 
· X: @WEEX_Official 
· Tiktok: @weex_global 
· Youtube: @WEEX_Global 
· Discord: WEEX Community 
· Telegram: WeexGlobal Group

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