Ethereum turns inflationary again
Ethereum (ETH), one of the world's largest cryptocurrencies, has turned inflationary again in Q2 2024 for the first time since 2022. During this period, the network added 120,818 ETH to its supply, driven by a decline in blockchain activity, News.Az reports, citing Investing.com .
Despite burning a significant amount of ETH since the beginning of the year — a total of 465,657 ETH — the network saw a net increase of 75,301 ETH in the same period. The shift from a deflationary to an inflationary model occurred in Q2 2024 when 228,543 ETH were issued, while only 107,725 ETH were burned.
Uniswap, the largest decentralized exchange on the Ethereum network, remains the leading ETH burner this year, despite a significant drop in its burn rate. In Q2 2024, Uniswap burned 15,031 ETH, a 72.4% decrease from Q1, when it burned 54,413 ETH.
Other major contributors to ETH burns include ETH transfers and Tether (USDT), which took second and third places, respectively.
July 2024 marked the lowest monthly ETH burn for the year, with only 17,114 ETH burned, a 35% decrease compared to June. This figure is far below the record of 398,061 ETH burned in January 2022 during the last bull market.
Notably, trading bots Banana Gun and Maestro also secured fourth and fifth places among the largest ETH burners in 2024, collectively burning over 20,000 ETH. However, Banana Gun saw a sharp decline in its burn rate, dropping 74.3% in Q2 compared to Q1.
Layer-2 blockchain Scroll also entered the Top 10 ETH burners this year, potentially linked to user activity in anticipation of a rumored token airdrop from the network.
The methodology used by CoinGecko involved analyzing data from January 1 to August 5, 2024, using Dune Analytics and Etherscan.
Despite burning a significant amount of ETH since the beginning of the year — a total of 465,657 ETH — the network saw a net increase of 75,301 ETH in the same period. The shift from a deflationary to an inflationary model occurred in Q2 2024 when 228,543 ETH were issued, while only 107,725 ETH were burned.
Uniswap, the largest decentralized exchange on the Ethereum network, remains the leading ETH burner this year, despite a significant drop in its burn rate. In Q2 2024, Uniswap burned 15,031 ETH, a 72.4% decrease from Q1, when it burned 54,413 ETH.
Other major contributors to ETH burns include ETH transfers and Tether (USDT), which took second and third places, respectively.
July 2024 marked the lowest monthly ETH burn for the year, with only 17,114 ETH burned, a 35% decrease compared to June. This figure is far below the record of 398,061 ETH burned in January 2022 during the last bull market.
Notably, trading bots Banana Gun and Maestro also secured fourth and fifth places among the largest ETH burners in 2024, collectively burning over 20,000 ETH. However, Banana Gun saw a sharp decline in its burn rate, dropping 74.3% in Q2 compared to Q1.
Layer-2 blockchain Scroll also entered the Top 10 ETH burners this year, potentially linked to user activity in anticipation of a rumored token airdrop from the network.
The methodology used by CoinGecko involved analyzing data from January 1 to August 5, 2024, using Dune Analytics and Etherscan.
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