Here's How Much ETH Has Been Burned By The EIP-1559 Upgrade

A jaw-dropping $400 million in Ethereum ETH/USD has now been burned by a network upgrade that destroys transaction fees. 

  • Around 200 ETH or $643,000 are burned per hour. As of Sunday, the Ethereum blockchain burned 124,865 ETH.
  • The update that burns the ETH, EIP-1559, came into force on August 5. 
  • The ETH burning became most intense on Friday, EIP-1559 burned approximately 11,176 ETH worth around $35.8 million, coinciding with high transaction fees, with the average fees rising to $38.3.
  • Ethereum is expected to switch to the proof-of-stake (PoS) mechanism by the end of 2021.
  • The EIP-1559 burns ETH that had been used to pay for transactions on the Ethereum network. 
  • Before EIP-1559, the Ethereum network didn't burn tokens; instead, gas fees went to Ethereum miners, a decentralized network of powerful computers that keep the network running.
  • Ethereum 2.0, which is considered the next generation of the Ethereum blockchain, will change the way Ethereum transactions are processed. 
  • Under ETH 2.0's proof-of-stake system, validators will win the right to validate transactions if they pledge the most ETH.
  • The Ethereum Foundation expects that Ethereum 2.0 will be 99.5% more environmentally friendly.

Related Link: Ethereum Bulls Challenge Bitcoin's Dominance In Futures Market On Institutional Push

Posted In: BlockchainBurnEIP-1559 UpgradeETHEthereumCryptocurrencyTop StoriesMarketsGeneral

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