Burning tokens does not benefit existing token holders, or anyone else, imho.
Follow this link to read my thoughts about token burning:
To burn or not to burn ... I say don't burn crypto (or bridges or witches, maybe ducks are okay)
Also, HBD APY is not to blame for this bear market. Lowering the APY now runs the risk of making things even worse.
With that said, I and others have been discussing (for quite some time, now) the need for L1 HBD time vaults, so that those who are earning higher-than-traditional APYs are required to make long-term commitments in exchange for those additional earnings.
HBD transferable bonds are another important L1 feature that need to go hand-in-hand with L1 time vaults. I discussed this very briefly during my presentation at HiveFest last year.