The Ethereum network has reported a significant rise in its supply over the past week. Data from ultrasound.money indicates that the total net supply of Ethereum (ETH) increased by 10,201 ETH during this period, reflecting ongoing growth in the cryptocurrency’s availability.
What Contributes to Ethereum’s Supply Growth?
The uptick in supply can be attributed to a total of 18,415 ETH being added, while 8,213 ETH were burned, removing them from circulation. This dual mechanism illustrates how Ethereum is working to balance supply dynamics despite its increasing availability.
How Does Ethereum Control Its Supply?
Ethereum employs the EIP-1559 token burn mechanism to regulate its supply, implemented after the London upgrade. This system ensures that a portion of ETH is burned with each transaction, striving to maintain control while still allowing for growth, as evidenced by the recent figures.
The current total supply of Ethereum stands at 120.37 million ETH, with an annual growth rate of 0.442%. This figure suggests that supply management is becoming more refined, aiming for a tighter grip through the ongoing token burn mechanism.
- A total of 18,415 ETH were newly generated in the last week.
- 8,213 ETH were removed from circulation through burning.
- The annual supply increase rate has decreased, suggesting controlled growth.
Currently, Ethereum’s price is $2,425, reflecting a 2.52% decline in the last 24 hours. This downturn follows the recent drop in Bitcoin prices, highlighting the interconnectedness of the cryptocurrency market.
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that cryptocurrencies carry high volatility and therefore risk, and should conduct their own research.
Source: https://en.bitcoinhaber.net/ethereum-sees-supply-surge-in-recent-week