CZ Burns $3.6M in Memecoins: What the Transfer of $BROCCOLI and $TUT

Binance CEO Changpeng Zhao (CZ) made headlines on March 31, 2025, after transferring more than $3.6 million worth of memecoins to a burn address, effectively removing them from circulation permanently. The move involved two rising Binance Smart Chain tokens, $BROCCOLI and $TUT. The action sparked debate across the crypto community, with some investors defending the decision while others questioned its long-term implications for the projects.

What are $BROCCOLI and $TUT?

$BROCCOLI and $TUT are two memecoins that have gained traction in recent months, largely fueled by CZ’s indirect exposure and the broader surge in meme-based tokens on the BNB Chain.

$BROCCOLI originated after CZ casually mentioned his dog named Broccoli. That brief mention triggered a wave of unrelated token launches using the same name, purely driven by internet humor and speculative trading. The tokens have no formal connection to Binance and are typical of the community-driven nature of memecoins.

$TUT, short for "Tutorial," emerged following the popularity of a viral video tutorial that showed how to create and deploy a token on BNB Chain. The coin launched in early 2025 and gained momentum through grassroots support. Developers, early adopters, and memecoin traders quickly formed a growing community around it. Both $TUT and $BROCCOLI have appeared in recent token listing votes on Binance, with $TUT currently trading near $0.04.

CZ Transfers Tokens to a Burn Address

In a post on X (formerly Twitter), CZ announced that he had sent several high-value memecoins from his wallet to a burn address. This included around $1.95 million in $TUT, $1.1 million in a variant of $BROCCOLI (caAb), and another $546,000 in a different $BROCCOLI token (6714). CZ asked users not to send additional tokens to the burn address, as he would not be interacting with them.

His reason for the move was clear: he believes burning tokens is better than selling them. According to CZ, selling would hurt token prices and damage community trust. His public wallet regularly receives token donations from smaller projects hoping to gain attention. Rather than profit from these unsolicited transfers, CZ chose to remove them from circulation entirely.

He also noted that there are AI tools being developed to automate token burns, but these technologies haven’t yet passed security checks. Until then, he plans to continue processing burns manually.

Possible Impact on the Tokens and Their Communities

Some observers view the move as a positive step for the tokens involved. Burning reduces supply, which could theoretically help support prices if demand remains strong. However, CZ’s public distancing from both $BROCCOLI and $TUT may also dampen enthusiasm, especially among traders who previously saw his wallet activity as a sign of approval.

There’s also a potential for confusion. Multiple $BROCCOLI contracts exist, and not all were included in the burn. This could lead to price volatility or misidentification of the actual tokens involved.

Conclusion

CZ’s decision to burn $3.6 million worth of $BROCCOLI and $TUT instead of selling them sets a clear tone on how he handles memecoin donations. While the move may help reduce selling pressure and increase scarcity, it also reinforces his neutral stance on unrequested tokens. For investors, it’s a reminder that memecoin hype alone isn’t enough. Research and caution remain essential in this fast-moving space.

Disclaimer: This article is for informational purposes only and does not constitute financial advice. Always do your own research before making investment decisions.