One million ETH worth have been burned since the implementation of EIP-1559 in August

One million ETH worth have been burned since the implementation of EIP-1559 in August

In a Twitter post published Wednesday, blockchain research firm CryptoRank revealed that over 1 million Ether (ETH) (worth $4.24 billion) had been burned since the introduction of the EIP-1559 protocol in August as part of the London hard fork. The EIP-1559 protocol reformed the Ethereum fee market, modifying the limit for gas fees and introducing a burn feature that takes a portion of transaction fees on the blockchain out of circulation, to be canceled permanently.

Notable decentralized applications responsible for token burn contributions include popular nonfungible tokens, or NFTs, platform OpenSea.io and play-to-earn NFTs game Axie Infinity. Next, transaction volume from decentralized exchanges such as Uniswap, 1inch, and Sushiswap made up a large portion of ETH burns. ETH is also burned during transfers from stablecoins like Tether (USDT) and USD Coin (USDC) built on the Ethereum blockchain. Lastly, wallet users in MetaMask and those making regular ETH transactions also contributed to the network activity.

Our top trading bots

According to data from Ultra Sound Money, 7.67 ETH is burned every minute, and up to 11,042 ETH is burned each day. At current rates, approximately 4 million ETH is burned every year. However, the blockchain currently emits about 5.4 million ETH per year. Therefore, the Ethereum network is still inflationary on a net basis.

That's all about to change next year when the Ethereum 2.0 upgrade goes live, transitioning the network from a proof-of-work consensus to that of proof-of-stake, where staking rewards will be far lower than mining rewards. As a result, it would lower the blockchain's emission rate far below its burn rate, thereby creating a deflationary ecosystem. Ultra Sound Money projects the peak supply of ETH will hit 119.7 million in early 2022 before beginning to decline.

Continue reading upon Cointelegraph
DigitalArt4Climate announce competition winners at COP26
A panel of thought leaders and blockchain visionaries from around the globe converged in Glasgow, Scotland on Nov. 11 for the United Nations Climate Change...
Bitcoin bulls set to net an $830M profit after Friday's BTC options expiry
Two or three weeks ago, when Bitcoin (BTC) was trading below $52,000, a trader betting on $65,000 by Oct. 22 would have been considered extremely optimistic....
MDT introduces blockchain oracle to accelerate DeFi adoption
Measurable Data Token (MDT) has announced the launch of a blockchain-based oracle service, Measurable Finance (MeFi), which has been designed to connect...
Facebook pilots Novi crypto wallet with Coinbase, Paxos
Social media giant Facebook has tapped Coinbase and Paxos for its forthcoming Novi digital wallet project, which kicked off its pilot testing phase in the...
ASIC targets pump and dump Telegram groups
The Australian Securities and Investments Commission (ASIC) is going after pump-and-dump groups on Telegram. On Monday, an account under the name “ASIC”...
CFTC slaps Tether and Bitfinex with a combined $42.5 million fine
On Oct. 15, the Commodity Futures Trading Commission, or CFTC, handed sister crypto companies Tether and Bitfinex fines totaling $41 million and $1.5 million,...
$1.2B in Ether withdrawn from centralized exchanges in record daily outflow
More than $1 billion worth of Ether has been removed from centralized exchanges in 24 hours, leading to speculation about imminent price gains for Ethereum...
Kraken Australia CEO talks the August market report and BTC price slump
Kraken Australia CEO Jonathon Miller described Tuesday’s Bitcoin (BTC) crash as a natural correction after BTC was “dragged up” by the overheated Ether...
NFT sales surge as speculators pile in, sceptics see bubble
By Elizabeth HowcroftLONDON (Reuters) - Non-fungible token (NFT) sales surged in August, according to the largest platform for the burgeoning digital asset...
Dutch central bank claims Binance is operating illegally
De Nederlandsche Bank, the central bank of the Netherlands, issued a warning to Binance Holdings Limited and its entities offering crypto services to local...
Spartan Protocol exploit results in loss of $30M
Spartan Protocol, a liquidity platform for synthetic assets on the Binance Smart Chain, was drained of $30 million in a coordinated attack on its liquidity...
EOS Falls 12% In Rout
Investing.com - EOS was trading at $5.4040 by 17:12 (21:12 GMT) on the Investing.com Index on Friday, down 11.76% on the day. It was the largest one-day...
Gemini users can now buy Bitcoin with Apple Pay and Google Pay
Major American cryptocurrency exchange Gemini now lets its users purchase cryptocurrencies like Bitcoin (BTC) with Apple Pay and Google Pay.According to...
Decentraland announces layer-two MANA token transfers, plans for full migration
Just a day after two decentralized finance powerhouses announced layer-two integrations via the Polygon sidechain, a major nonfungible token and gaming...
Blockchain ICO Speculation - Is It Healthy?
The new investing method is becoming real due to advances in the blockchain technology. Today we can say with confidence: ICO-investing is trending! On...