Since the activation of the London hard fork, Ethereum has burned over 2 million ETH

Since the activation of the London hard fork in August 2021, the Ethereum network has burned over 2 million ETH worth more than $7 billion. The leader by the volume of burned coins is the NFT marketplace OpenSea, with 230 044 ETH.

The London hard fork includes EIP-1559, which envisages burning a portion of transaction fees depending on network load and reducing the volatility of gas prices.

On average, the protocol burns 6 ETH per minute. The NFT segment accounts for 35% of all burned coins, or 701 597 ETH. DeFi services are in second place with 651 336 ETH (33%).

The coin-burning mechanism exerts deflationary pressure on Ethereum. In theory, the issuance of the second-largest cryptocurrency could turn negative. There have already been periods when the protocol burned more ETH than it issued for several days.

Earlier, the amount locked on the Ethereum 2.0 deposit contract exceeded 10 million ETH.

Earlier, Vitalik Buterin proposed two proposals to reduce transaction costs when using ZK-Rollups.

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