Ethereum: $1 Billion Taken Out of Circulation After London Hard Fork
Ethereum is a medium-sized, open blockchain that operates on a smart contract operation and ether is its traditional cryptocurrency. Represented by the ETH symbol. Ethereum is the second-largest cryptocurrency in terms of market capitalization after Bitcoin, which was significantly upgraded on August 5 this year.
Called the London Hard Fork, the most recent update was a collection of five Ethereum Improvement Proposals (EIPs) proposals. This includes EIP 1559, which was intended to speed up and promote cryptocurrency mining.
EIP 1559 also spoke about the criticism Ethereum faces of increasing network congestion and transaction costs by introducing a new heating system that simplifies the process. Since the upgrade, more than 3 lakh Ethereum (Ether) has cost more than $ 1 billion.
OpenSea, a popular NFT market, is causing a major fire in the Ethereum network, representing approximately 43,801 ether coins worth about $ 148 million. It is followed by the transfer of traditional ether, standing on ether 25,999 coins worth $ 88 million.
According to the crypto analytics team Dune Analytics, 3,09,973 coins have been burned so far. Their total value stands at $ 1.05 billion, which was permanently lost.
EIP-1559 converts Ethereum's monetary value into a new Ether deflationary scheme. It has been able to reduce the amount of ETH produced daily and increase the amount of hot ether.
In this new system, one can burn a large amount of transaction money - called “basic money” - instead of sending it to miners.
According to the proposal of EIP 1559, this was done to counter Ethereum inflation while awarding a blockchain prize and a set amount (senior financial users who are willing to spend more to supplement their blockchain transactions) to miners.
One of the main reasons for the high rate of hot ether is the high transaction costs of Ethereum (gas money). Ethereum manages an estimated 1.2 million transactions on the network every day.
According to CoinMarketCap, Ether was trading at $ 3,517 at the time of writing this report.
Ether is the second most powerful platform after bitcoin. ETH has changed the entire crypto market since its inception.
Hello @printskill
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Yours,
@project.hope team,
I have read the post learn about our economy and also replied on the same.
Thanks for sharing this information.
I've just noticed your other comment. It's quite long and I thought that perhaps it's best if we could "talk" via Discord?
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Cheers, Piotr
Thank you Sir for your feedback. I am not too much familiar with Discord since yet I am not using it. But, I have sent a message to you on Telegram.
I am first trying to understand Discord and soon I will be available on Discord.