Following the EIP-1559 upgrade, Ethereum is being burned at an astounding rate, according to statistics from EthBurned and UltraSound.Money.
The Ethereum network has burned almost $1 billion worth of ETH since the London hard fork upgrade occurred less than two months ago.
Fee burning was introduced to transactions with the London Hard fork and following the network EIP-1559 upgrade, which eliminates ETH base fees paid for Ethereum transactions. The base fees are the very minimum that a transaction must pay in order to be included in an Ethereum block.
The London Hard fork and subsequent upgrades are part of Ethereum’s shift to a proof-of-stake network, which will abolish Ethereum mining and make the currency more sustainable in the long run. The shift – also known as “the merge” or “ETH 2.0” – is intended to dramatically cut the blockchain’s gas expenses.
Due to its usefulness in the burgeoning DeFi and NFT spaces, as well as its role as the “first-mover” in blockchains, Ethereum saw a rebound in attention, demand, and price action following the implementation of the network upgrade.