Token burn are performed in the crypto space to reduce the supply of the asset in circulation to help keep the supply-demand in check. It's done using the wallet that has no private key, hence what enters there is nobody's money any longer.

To Reduce the Circulation Supply.
To Maintain Stability in the Price of Asset.

I agree with this, they are the basics why blockchain burn their tokens. The program also improve investors trust in the market and attracts more investors. Good to read your post in the contest.