NEWS ZAP
Ethereum Burn Rate Could Destroy $5 Billion Per Year
It has now been almost a week since the Ethereum London upgrade launched and over 20,000 ETH have been destroyed, giving analysts an estimation of a yearly burn rate.
Anywhere between 25% and 75% of the base fee is now being destroyed in an ongoing process that may turn the Ethereum ecosystem into a deflationary form of “ultrasound money” once proof-of-stake is rolled out.
The top Ethereum-based platform for burning fees at the moment is the OpenSea NFT marketplace, which has burned 735 ETH, or $2.3 million. Uniswap v2 is next with 348 ETH burnt and another NFT platform, Axie Infinity, has removed 318 ETH or almost $1 million in transaction fees.
Aside from using ETH for trading, decentralized finance (DeFi), or non-fungible token (NFT) minting, a large chunk has already be staked on the Beacon Chain. These tokens are locked away and immovable until “the merge” joins ETH 1.0 with the proof-of-stake blockchain sometime i
