In the past 21 months following Ethereum’s London hard fork, the network has witnessed the destruction of over 3.33 million ether, valued at $6.1 billion. At present, roughly 3.51 ether is burned every single minute. Standing out as a prominent participant in the burn process since August 5, 2021, just below conventional ETH transfers, is the Opensea platform, which has contributed to the burning of 230,050 ETH.
More Than $6 Billion in Value Destroyed Since EIP-1559
Back on August 5, 2021, a significant event occurred in Ethereum’s history with the implementation of the Ethereum Improvement Proposal (EIP) 1559 as part of the London upgrade. Since then, 660 days have passed. In the initial three months alone, over 700,000 ether was burned, setting the stage for what was to come.
Fast forward to the end of May 2023, utilizing the latest burn metrics, EIP-1559 has fueled the burning of 3.33 million ethereum (ETH) with a value of $6.1 billion, reflecting current ether exchange rates. Since the upgrade, the primary driving force behind this burning lies in the everyday traditional transfers of ether.
Figures reveal that conventional ether transactions have led to the destruction of a substantial sum of 285,576 ether, valued at $522 million. Notably, the Opensea platform stands as the second largest contributor to this burning since August 2021, with 230,050 ETH going up in flames as a result of associated transactions.
Equally noteworthy, transactions associated with Uniswap v2 have contributed to the destruction of 179,571 ether since 2021. When combining the effects of conventional ether transfers, Opensea, and Uniswap-related transactions, the collective burn amounts to a tally of nearly 700,000 ether.
Since 2021, Tether’s ERC20 transactions have played a role in the burning of 146,837 ether, while Uniswap v3 transfers have contributed to the burning of 120,889 ETH. Alongside these notable burners, the all-time leaderboard also features prominent contributors such as Metamask, USDC, Otherdeed, and the creation of new contracts.
Over the past seven days, the burn rate is 3.51 ether per minute, resulting in the destruction of more than 28,000 ethereum. Notably, the seven-day statistics reveal that Uniswap-associated transactions have outpaced conventional ETH transfers, further solidifying its position at the forefront of today’s top burners.
In the United States, the current average price for a house stands at $436,000 per dwelling. The quantity of burned ethereum, valued at $6.1 billion, could have been used to acquire approximately 14,000 homes at this average price. Alternatively, one could delve into the realm of luxury automobiles. With a low-end Lamborghini Huracan priced at $242,000 today, the sum of $6.1 billion would enable the purchase of around 25,206 of these racing machines.
Interestingly, when examining the expenditure patterns of the U.S. government, data reveals that between October 2021 and April 2022, they were spending nearly $500 billion each month. This striking contrast emphasizes the government’s ability to burn through money at a much faster pace than the Ethereum network, as the network of bureaucrats exhausts $6.1 billion in a mere 8.8 hours.
What are your thoughts on Ethereum’s journey of burning 3.33 million ether valued at $6.1 billion? Let us know what you think about this subject in the comments section below.
