Ethereum (ETH) Users Paid $1 Billion in Fees in 30 Days, Here’s How Much ETH Burned

With EIP-1559 enabled, Ethereum steps closer to deflationary asset status

Token Terminal, an on-chain analysis platform, has shared an infographic on Ethereum network fees and the effects that EIP-1559 is having on its supply.

82.45% of the amount of network charges destroyed in the last 30 days

According to statistics shared by TokenTerminal, users of the Ethereum Network (ETH) paid more than $ 1,000,000,000 in equivalent to have their transactions added to Ethereum blocks.

ICYMI

Users of @ethereum have paid ~$1.0B in transaction fees over the past 30 days.

Of that ~$1.0B, 82.45% or ~$824M was burned* and thereby returned to $ETH holders.

*The burn mechanism is similar to a stock buyback because it decreases the amount of tokens in circulation. pic.twitter.com/FLzptAXM09

— Token Terminal (@tokenterminal) October 17, 2021

During the same period, more than $824,000,000 in equivalent were destroyed.

As covered by U.Today previously, in times of high network activity, more ethers are burned than created. Thus, there are some periods in which the Ethereum supply is deflationary.

This mechanism was activated on August 5, 2021 on the Ethereum mainnet. By mid-October, more than 500,000 Ethers have been destroyed. This process reduces the selling pressure and is often treated as a bullish catalyst for the second cryptocurrency.

Ethereum is on its way to The Merge

The Ethereum 2.0 Merge, i.e., the transition from proof-of-work (PoW) to proof-of-stake (PoS) consensus, has been activated in an interoperable devnet.

On October 8, 2021, Ethereum lead developers activated The Merge in a multi-client closed developer network with clients Besu, Erigon, EthereumJS, Geth, Nethermind, Nimbus, Lighthouse, Lodestar, Quilt, Prysm and Teku on board. .

As explained by Ethereum Foundation’s Tim Beiko, from Q4, 2021 – Q1, 2022, Ethereum’s Pithos devnet will be stress tested by Ethereum contributors and enthusiasts.