[#burnsteem25] Understanding the concept of Steem Burning | Betterment of Steem Economy - @janemorane

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Hello Beautiful People!

As we all are aware of the current situation of steem economy and the reasons behind the dropping market for steem. To recover from this worse situation we need to boost up the steem economy and for that purpose, steem burning has been started by many steemit users and has now become very popular on steemit so let's see what is steem burning and what are its benefits for the betterment of steem economy.

What is Steem Burn?

Burning of a specific coin in cryptocurrency is considered as the burning of coins to decrease the flow of that specific coin in the economy and decreasing its supply will lead to an increase in the price. Steem economy is dropping so this initiative is started for the burning of more steem and through this burning Tune to decrease the supply and the circulation of steam coins and when there will be decrease circulation the prices will increase automatically.

Now you might be thinking that how can we burn steems so here by burning the steem coins doesn't mean that we burn them for real but send the steem somewhere like a black hole from where no one can recover them and use them so they are finished forever without anyone approach. On steemit you have heard about setting beneficiary for @null account and what is the purpose for it. So, basically, @null is a dead account and has no address, and when any coins sent to this account are completely vanished or are like they are sent to a black hole from where its recovery is impossible. Through this, we are burning the steem coins and decreasing their circulation in the market. Actually, this is important to pull out some steems from the circulation and by this, the steem coins become more scarce and the rates increase automatically.

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How does it benefit us?

As we all know that decreasing the circulation of steam in the market will increase its prices and when its rate will increase automatically all the steemians will get benefited from it increasing the rewards and stabilizing the steam economy.  we need to set beneficiary to @null  account in order to stabilize the steem rates in the market. As we are the investors of steem as holding steem and earning them so it has a great benefit for us in return.

How can we burn steem and contribute to the betterment of steem economy?

The most easiest and important way to burn steems is to send them to the @null account but sending them to @null? but how much? what about the club status? some questions are always in our mind so, we can burn steems by setting a beneficiary of 25% to the @null account which will automatically burn the steems from our post reward, and then we don't have to worry about our club status which will not be disturbed anyway.