Ethereum implemented the EIP-1559 in 2021 and since then, ETH has been burned every day. This upgrade has pushed the network towards becoming deflationary, taking more than 30% that would have gone straight into circulation and burning it. Now, only seven months after the upgrade was implemented, the network has reached another milestone of ETH burned in terms of dollar value. Over $5 Billion In ETH Burned On August 5th, the EIP-1559 officially went into effect. This came with much fanfare given the implications of such an improvement on the network. It has burned ETH since then and accelerated over the next few months as network activity rose due to the rise of the decentralized finance (DeFi) space. The burn had quickly surpassed $1 billion burned, and now seven months later, there have been over $5 billion worth of ETH burned. Related Reading | Bitcoin Breaks Above $40K Again, But When Will Consolidation End? This comes in light of the recent acceleration recorded over the last six months. In this time frame, the rate at which ETH is being burned is up 559%. The volume burned all comes from fees as the network has seen higher activity in recent times. The burn is important given that it permanently removes all of the burned coins from circulation. This means that since August 2021, more than 1,950,00 ETH have been removed from circulation. At this accelerated rate, the network is seeing about 80 ETH burned every hour. ...
