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 Š”ryptocurrency exchanges => Binance - Š”ryptocurrency exchanges => Topic started by: Bitcoin on Feb 22, 2022, 04:24 am

Title: Different ways in which bitcoin can be burnt
Post by: Bitcoin on Feb 22, 2022, 04:24 am
Different ways in which bitcoin can be burnt

I'm interested in the different ways in which bitcoin can be burnt. I can see three ways:



  1. Send coins to a 'made-up' address. There's no way to distinguish it from a real address (so the transaction will not be rejected), except that no-one has the private key

  2. Send a de minimis amount (e.g. 1 SAT) to an address which already holds coins. These will get 'overwritten' and thence lost

  3. Begin an output address with OP_RETURN


Both (2) and (3) demonstrate that coins are destroyed. (1) relies on trust.


Firstly, are the above descriptions accurate (and am I using terminology correctly)?
Secondly, are there any other way of destroying coins?
Finally, in reality do either (2) or (3) represent a material loss of coins?


Source: Different ways in which bitcoin can be burnt (https://bitcoin.stackexchange.com/questions/112526/different-ways-in-which-bitcoin-can-be-burnt)