200,000 ETH Burnt & Counting!

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As reported earlier this weekend by decrypt, EIP-1559 has already burnt about 675 Million worth of Ethereum!


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Miners surely aren't going to like this, but Ethereum holder everywhere should be pretty pumped right?

EIP-1559 was introduced with the London hard fork and has done half the job it was supposed to do. Or maybe it's done exactly what it was supposed to do, it was just feed to use in a way to detract from the fact that miners are going to short a lot of the rewards they were used to receiving.

As I mentioned in a previous article about a month ago titled 31,000 ETH Burnt Already!, this EIP was sort of pitched as a way to also improve the UX around paying for Ethereum transaction fees.

On that front I will say that basically nothing has changed up front for the user and fee's are still astronomically high, especially now with the next wave of NFT mania upon us with an ALT season potentially looming in the distance.

I think that UX talk might have been a bit of misdirection from the Ethereum foundatipon, a bit of slight of hand if you will.

What EIP-1559 has really done well is take rewards away from miners and evaperate them into thin air!

$682 Million in ETH Burnt!

The London hard fork was barley a month ago and we're already closing in on a Billion dollars worth of ETH already gone up in smoke, wowzers, think about that for a minute!

Is this even real life?

This can't possibly go on forever, and if that's the case then I would have to agree that this EIP is an excellent way to speed along the development and shift to ETH 2.0.

There's a time bomb set for December but even that will be moved back, at least that's my guess. That's what 4 more months minimum of ETH being burnt, and even then like I said I'm guessing this burn will continue for some time longer.

Will we see $3 Billion in ETH burnt by Christmas?

That would be absolutely crazy but it's possible, assuming the price of ETH stays upwards of 3k per coin, here's hoping. Something to keep an eye on as we inch closer to ETH 2.0, watching POW go up in smoke.

Ciao for now,

@agr8buzz

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Well, it's not so much that millions or billions of ETH are being destroyed... It's more like a reverse stock split with the value being added to the ETH not being destroyed. Great for HODLers, not as great for miners perhaps. They really need to figure out how to lower those fees though.

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Not destroyed, just removed from circulation forever.. Deflationary mechanics for the win!

The chain needs fast throughput right, if it could do 100,000 transactions per block instead of the roughly 70 it does now we wouldnt have gas wars.. needs to scale!

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You still around? Long time no post

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I'm alive! I've been working on multiple crypto projects as a CM and it's been insane. I shall post again, everyone needs a break once in a while.

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