ETH at stake – In August 2021, PEI 1559 was distributed on the network Ethereum. In practice, it is a question of modifying the tariff system by systematically destroying part of the transaction commissions. Since its inception, billions of dollars have been burned by this mechanism. So much so that the issuance of ETH on Ethereum has become deflationary.
$4.6B destroyed on Ethereum
A little less than a year and a half has passed since then PEI 1559 it was implemented on the Ethereum network. In practice, this was intended to make fees more predictable from block to block.
At the same time, it also incorporates a process for destruction systematic of one part of transaction fees. As we can see, this destruction is massive.
Therefore, since the implementation of EIP 1559, 2.8 million ETH was destroyedfor a total value of approx $4.6 billion. Therefore, this mediates the destruction of 3.69 ETH per minute.
Many protocols participated in this destruction. First of all, uniswap topping the list with 307,000 ETH destroyed during transactions that interact with the platform’s smart contracts. The NFT trading platform Offshore closely follows the DEX with 300,000 ether destroyed.
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ETH: A deflationary asset
Last September, the network Ethereum has completed its transition from Proof of Work to Proof of Stake. This historic transition has had many effects on the network, including the issuance of ETH.
Indeed, the go to the test of participation drastically reduced the number ofETH issued daily. So where 4 million ETH was being issued annually in POW, this number dropped to 645,000 in the store.
This mechanism, coupled with the mechanism of systematic destruction of taxesleads to an even greater reduction in emissions.
So much so that on many occasions the number ofETH destroyed is superior to the number ofETH createdmaking ETH issuance deflationary.
Currently, it is estimated that the ETH issuance rate is -0.006%. Obviously this value varies over time, proportionally to the activity recorded on the network.

Thus, by some estimates, the total supply of Ether in circulation peaked in early October at 120 million ETH. From now on, it should gradually decrease.
In practice, the emission will be high dependent on the chain activity. Therefore, it is likely thatEthereum Be a lot deflationary during periods of high activity and encounters inflationary periods during times of declining activity, particularly in the bear market.
For their part, the stakers of the Ethereum network are eagerly awaiting the month of March. Indeed, The Shanghai hard fork will be deployed there, bringing with it the ability to withdraw staked ETH.
Ethereum, Bitcoin and cryptocurrencies are here to stay and will change the landscape of the economy, everyone agrees. For your part, do not delay too long and go register on AscendEX. Take advantage of the 10% reduction on trading commissions (commercial link, see conditions on the site).