Avalanche Burns 4.8M AVAX as Activity Surges

According to Koey, Business Operations Manager at Ava Labs, the network has burned more than 4.8 million AVAX tokens in the past week. About 108 million USD in value.

While that number might seem modest in the broader crypto economy, the pace at which tokens are now being removed from circulation tells a bigger story.

Rising Network Demand and Adoption

At the start of this year, Avalanche was burning fewer than 500 AVAX tokens daily. That figure has now tripled, with more than 1,500 AVAX burned per day. In blockchain terms, “burning” means permanently destroying tokens by sending them to an address that no one can access. This process reduces the total supply of a cryptocurrency, creating a deflationary effect that can, over time, increase the value of each remaining token.

Over the past week, total $AVAX burned surpassed 4.8M, which is roughly $108M USD. In the grand scheme of things this may not sound like a lot, but the metric to focus on here is the rate of burn. At the beginning of the year @avax was averaging less than 500 $AVAX burned per… pic.twitter.com/9N3WoW9GY6

— Joey 🔺 (@joeycannoli9) October 13, 2025

Recent trends also show a spike in institutional and developer interest. Avalanche has been expanding its Institutional Subnets, custom-built blockchains that allow enterprises to use Avalanche technology while maintaining compliance and control. These subnets contribute to overall network usage, further increasing the burn rate.

Introducing Avalanche Evergreen Subnets 🌲

Institutions want to leverage the power of public blockchain development, interoperability and composability while enabling features historically only possible with enterprise blockchains.

Evergreen gives them the best of both worlds👇 pic.twitter.com/EbziGmGrYY

— Avalanche🔺 (@avax) April 6, 2023

A real-world example comes from the social platform Stars Arena, which saw a surge in user activity earlier this year. Every transaction on the app required small AVAX fees, all of which were eventually burned. As platforms like this grow, they create a cycle of usage and scarcity that strengthens Avalanche’s economic model.

One of the most popular SocialFi platforms right now is @TheArenaApp. They merge social media with token trading. You can monetize your content and social activity in $AVAX.

Arena first appeared in late 2023 as Stars Arena, inspired by Friendtech but built on the @avax network.… pic.twitter.com/P4mTKesYtC

— V J | Crypto Alphas (@libra_Saloni22) October 9, 2025

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