Burn-Out involves the use of a lit cigarette. This is not to say that the game is only played by smokers. In fact, many times we abstainers have bummed a cigarette from some incredulous bar patron so we could get in a couple of rounds of Burn-Out. Smokers can’t believe we use their precious butts in this way. Tough.
The other equipment necessary to play Burn-Out is a glass (preferably short with a wide mouth) and a napkin. Put a single layer of the napkin over the glass and pull it down around the sides. Next, wet the napkin around the rim of the glass and tear off the excess, so the napkin covers only the mouth of the glass. The final set-up will look like a miniature bongo drum. Then take a dime and gently lay it in the center of the napkin. Now you’re ready to begin.
To play, participants take turns burning holes in the napkin around the dime with the cigarette. Whoever burns the hole that causes the dime to fall must drink (from another glass, of course — we discovered that drinking ashes really blows.)
Burn-Out can take an amazingly long time for the dime to fall. This, but, is why the game is fun. The dime often becomes suspended on the tiniest strip of paper, and deciding where to burn the next hole can be a real challenge.
We highly recommend Burn-Out for the bar scene. You always make lots of new friends because everyone wonders what the hell you’re doing and comes over to ask. Burn-Out is also the perfect game to play when you’re warming down after a night of intense beer gaming.
Source: The Complete Book of Beer Drinking Games