On 05.08.2021, the Ethereum network started burning a portion of the commission previously transferred to miners. Since then, 4.4 thousand ETH coins have been destroyed in one day. Translated into dollars, this amount is $12.2 million.
The burning of etherium tokens is aimed at reducing their number in circulation. Experts believe that destroying digital coins is an effective way to fight inflation.
After the launch of the token burning mechanism, the value of etherium rose by 7%. Sometimes the rate reached $2.8 thousand. Experts note that the growth of ETH price after the updates looks natural. At the moment, the classical market scenario is being implemented: when the number of coins in circulation decreases, the quotes go up. Experts predict an increase in the value of the altcoin by the end of 2021 to $5-6 thousand, if the rate will continue to grow at the same rate.