For the first time since the beginning of November, the volume of ETH issuance has overtaken the cryptocurrency burning indicators against the background of weak price activity
The annual inflation indicator ether (ETH) regained positive values for the first time since the beginning of November.
According to the ultrasound.money service, as of December 6, annual ETH inflation increased by 0.08% to 622,000 ETH. At the same time, the annual volume of ETH burning is 527,000 ETH.
At the same time, back in early November, the volumes of burned ETH overtook the issue, which made the cryptocurrency deflationary.
Most of all, commission burning is recorded on the Uniswap V3 cryptocurrency exchange platform (~4192.1 ETH has been burned over the past thirty days). In second place were the commissions burned for ETH transactions on the Ethereum network (3195 ETH). The three most active projects were closed by the USDT stablecoin smart contract, through which ~2593 ETH was burned.
In total, for almost a month, the Ethereum network has burned over 50,000 ETH, and every minute about 1.2 ETH burns on commissions.
Calculation method
Recall that before Ethereum switched to the Proof-of-Stake algorithm, the number of ETH issued per day was calculated according to the formula: reward for a block for miners + reward for PoS-stake holders – burned ETH. However, after switching to PoS, the reward for the extracted blocks is no longer generated either at the execution level or in the main Ethereum network.
Considering that the issue at the execution level after switching to PoS is zero, the number of new ETH is now calculated as follows: the reward for PoS-stake holders is burned tokens. At the time of writing, the ETH exchange rate in the ETH/USD trading pair is $1,261, according to Nomics. At the same time, the market capitalization is fixed at $154.5 billion.
