Following the highly anticipated London update, which added a token burn mechanism to Ethereum (ETH), the network is currently burning an average of $10,295 (3.68 ETH) per minute.
The Ethereum Improvement Proposal (EIP) 1559, among other changes, ordered that a part of all transaction fees, known as the base fee, be destroyed in each block rather than flowing to miners.
This was done, according to the proposal's description, to offset Ethereum inflation while still offering miners the block reward and priority fee (the highest fee users are prepared to pay to put their transaction in a block).
According to Etherchain.org, about 3.7 ETH (just over $10,000 at current prices) are burned on Ethereum per minute at the time of writing.
Meanwhile, just hours after the London update was applied, 630 ETH (about $1.77 million) were burnt.
Over the last hour, the basic cost has ranged between 70 Gwei ($5.84) and 100 Gwei ($8.34).
According to Ultrasound.money statistics, the popular non-fungible token (NFT) marketplace OpenSea is currently the greatest “ETH burner,” with over 69 ETH ($193,124) tokens destroyed as a result of transactions it facilitated since the update.
Following OpenSea are two versions of the decentralized finance (DeFi) trade system Uniswap - Uniswap V2 (53.33 ETH) and Uniswap V3 (53.33 ETH) (45.25).
So far, professionals and community members alike have expressed support for the London renovation.
“The long-awaited EIP1559 network upgrade was a watershed moment for the Ethereum cryptocurrency industry. In an email exchange, Ross Middleton, the chief financial officer of decentralized crypto exchange DeversiFi, stated,
“Now, every transaction, NFT purchase, or loan on the Ethereum network will result in ETH being burnt out of existence, making ETH a deflationary and inflation-busting asset.”
In the last 24 hours, the price of ETH has grown by 4.9%.
The new system is related to Apple's "Apple Inc burning AAPL shares whenever someone buys something from the Apple App Store or makes an in-app transaction."