A Total Of 4,758.45 ETH Worth Over $10M Was Burned
Latest News News

A Total Of 4,758.45 ETHER Worth Over $10M Was Burned

On Thursday a total of 4,758.45 Ether, worth $10,622,997 based on the current value of Ethereum at time of publication ($2,232.45), was burned from Ethereum transactions.

Burning is when a coin or token is sent to an unusable wallet to remove it from circulation.

On August 5th, 2021, the Ethereum blockchain implemented an important upgrade known as EIP-1159. This Ethereum improvement proposal changed the fee model drastically. 

See Also: Pixels Game Has Announced Its Pixel Token Airdrop, Here’s How to Get It

Now each transaction includes a variable base fee that adjusts according to the current demand for block space. 

This base fee is burned, or permanently removed from circulation, lowering the supply of Ether forever.

Ethereum is currently issuing new Ether at a rate of 4% per year, although this is expected to decrease to around 0.5-1% as a part of the Ethereum 2.0 upgrade. 

Once this occurs, many speculate that the burn rate of Ether will be greater than the token’s issuance, causing ETH to become a deflationary currency.

The net annualized issuance rate for Ether was -3.76% after the burning.

Crypto products and NFTs are unregulated and can be highly risky. There may be no regulatory recourse for any loss from such transactions. Crypto is not a legal tender and is subject to market risks. Readers are advised to seek expert advice and read offer document(s) along with related important literature on the subject carefully before making any kind of investment whatsoever. Crypto market predictions are speculative and any investment made shall be at the sole cost and risk of the readers.