Base Fee Burning

Base Fee Burning is a mechanism where a portion of the transaction fee is permanently removed from circulation. This effectively turns the network's native token into a deflationary asset as usage increases.

In the context of tokenomics, this creates value accrual for token holders by reducing supply. When network congestion is high, more fees are burned, potentially offsetting inflationary issuance.

This economic design aligns the incentives of network users and long-term investors. It is a key feature in modern blockchain architectures to manage the total supply and incentivize the security of the network.