Celsius Network executed a token burn of its CEL holdings, disposing of a significant portion of the token supply on April 30.

According to Etherscan data, the company incinerated 652.2 million CEL tokens by transferring them to a null address. This amount represents approximately 94% of the previous total supply, which stood at 692.8 million CEL, valued at around $83.2 million based on current market prices.

Following the burn transaction, the remaining token supply dwindled to 40.6 million CEL, as per updated data from CoinGecko.

The transaction originated from a Celsius-controlled wallet, as identified by Arkham Intelligence data.

The burn event could impact CEL's market value positively due to the reduction in supply, potentially leading to a price increase if demand continues. Market data reflects a modest rise in CEL's value, with the token price climbing from 13.0 to 13.7 cents in the hours surrounding the burn, marking a 5% uptick. However, over the day, CEL, like the broader crypto market, experienced more substantial losses, with a 5.3% decline.

In a filing related to its bankruptcy case in September 2023, Celsius expressed its intention to burn all CEL tokens under its possession upon the effective date of its reorganization plan. However, it clarified that it couldn't eliminate all CEL tokens or halt trading on exchanges.

Earlier in January, Celsius announced plans to distribute $3 billion in crypto to creditors, without explicitly mentioning a token burn in its public communication regarding the effective date.