ethburned.info, an explorer of the Ethereum blockchain released this Thursday (5), monitors how many ETH are destroyed with each new block mined on the network — something new that was introduced in the hard fork ‘London’. The new version of Ethereum determines that the token used by the user to pay transaction fees is burned instead of going to the miners, as was done before. The tracker shows that in almost three hours that the new system is activated, around 878,943 ETH have already been destroyed, equivalent to US$2.4 billion at the current currency rate. According to the volume of activity on this farm's network, the average is that 4.1 ETH is being burned per minute. The average is that 4.1 ETH is being burned per minute. (Source: ethburned.info)The burning of tokens comes to curb the inflation of the currency since for each new block mined, 2 ETH are put into circulation as a reward to the miners. Having a way to rein in unlimited supply can help strengthen the cryptocurrency that is now the second-largest in the world, with a market value of $327 billion. The scarcity of its main competitor, bitcoin, which determines that there are only 21 million tokens in the world, is one of the most attractive features of the currency in the eyes of investors. Currently, the annual emission rate for Ethereum is around 4%, while Bitcoin is lower at around 1.8%.
A new fee system
Now users of Ethereum or some decentralized application (dApp) based on the ecosystem, only pay a basic fee to fund their transactions, determined by the network itself. According to data from Etherchain, the average cost of the tariff is around 61 GWei on Thursday. Improvement EIP-1559 introduced an algorithm that became responsible for regulating a minimum gas price, measured in GWei, which increases when the market is busy and decreases when it is calmer. It doesn't mean the improvement will bring down the costs of using Ethereum — the network is still only able to process a limited number of transactions at a time — but it will make rates less volatile, as well as prevent miners from causing deliberate network congestion. To compensate for this loss of revenue for miners, EIP-1559 brought “inclusion fees”, a kind of tip that the user can choose to pay, in addition to the base fee, so that miners prioritize their transaction and add it as quickly as possible. possible in the next block.