5,084 ETH Worth $9M Was Just Burned
Portfolio Pulse from Benzinga Insights
On Tuesday, 5,084.14 Ether (ETH) worth $9,393,055 was burned from Ethereum transactions. This follows the Ethereum blockchain's upgrade known as EIP-1159, which changed the fee model and burns a base fee from each transaction, permanently removing it from circulation. Ethereum is currently issuing new Ether at a rate of 4% per year, expected to decrease to around 0.5-1% with the Ethereum 2.0 upgrade. The net annualized issuance rate for Ether yesterday was -5.33%.
August 09, 2023 | 6:00 pm
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The burning of Ether from transactions, as a result of the EIP-1159 upgrade, is reducing the supply of Ether. With the upcoming Ethereum 2.0 upgrade, the issuance rate is expected to decrease, potentially making ETH a deflationary currency.
The EIP-1159 upgrade has led to the burning of Ether from transactions, which reduces the supply of Ether. This, coupled with the upcoming Ethereum 2.0 upgrade that is expected to decrease the issuance rate of Ether, could potentially make Ether a deflationary currency. This could increase the value of Ether in the short term as the supply decreases while demand remains constant or increases.
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