- The annual inflation rate of ETH is 0.00002%.
- The value of transaction settlement on the Ethereum network is significantly higher than on the Bitcoin network.
For the first time since December 2022, Ethereum (ETH) issuance has returned to a deflationary state. ultrasound money clearly. The altcoin supply growth at the time of writing is -34.67 ETH and the annual inflation rate he has dropped to 0.00002%.
Every time ETH turns to deflation, it means that the percentage of new ETH added to the total supply is decreasing. also burned many ETH tokens.
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per data from Etherscandaily ETH consumption increased by 32% since January 1st.
The past year has been kind to major alts
Besides turning into a deflationary coin, the value of ETH has also increased by 31% since the start of the 2023 trading year. According to data from CoinMarketCap, alt values have increased by more than 20% in the last week alone.
ETH’s sharp rise in value reflects the growth of the cryptocurrency market in general since a tumultuous year began at the end of the 2022 trading year. According to data from coin geckothe global cryptocurrency market capitalization has risen 21% in the last 16 days.
Additionally, since the beginning of the year, daily transaction settlements on Ethereum have surpassed $21 billion, significantly surpassing Bitcoin’s $2.6 billion daily transaction settlements.
Ethereum settles above $21 billion in daily value while Bitcoin struggles to settle above $2.6 billion worth…
you tell me where the future is pic.twitter.com/Ez0kcinM1W
— Cryptomaxi (@cryptoMaxi420) January 15, 2023
Additionally, CryptoQuant analyst CryptoOnchain discovered that new ETH smart contracts created are making a comeback. According to CryptoOnchain, the number of new smart contracts on the Ethereum network has increased in the last four months after a decline from August 2021 to October 2022.
The large number of new smart contracts on Ethereum can be seen as a sign of high developer activity and interest in the platform, demonstrating the health and growth of the Ethereum ecosystem.
This is a positive sign for the future of Ethereum, as it suggests that more and more developers are building on the Ethereum blockchain, making the network more robust and useful.
read ethereum [ETH] Price Forecast 2023-24
Ahead of the Shanghai upgrade
A look at Ethereum 2.0 contracts revealed an increase in on-chain activity as the Shanghai upgrade is estimated to take place before the end of Q1 2023. According to Glassnode, the total number of Ethercoins included in Ethereum 2.0 deposit contracts was 513,414 ETH. This is up 1.3% since the beginning of the year.
Similarly, the total number of validators on the Proof of Stake Network was 501,666 at the time of writing, up 1.2% over the last 16 days.