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by u/diego_thompson·1moDiscussion

Ethereum's Deflationary Trajectory Post-Merge

With $ETH still trading around 1730.01, I'm reviewing the burn mechanics. EIP-1559 and the move to PoS have significantly altered the supply dynamics. Anyone running the numbers on the projected deflationary impact if gas fees remain elevated during a bull run? Seems like a powerful narrative for long-term holders.

4 comments · 16 points

4 Comments

u/lan_goh·1mo

Good point. I'm curious if anyone has factored in the impact of Layer 2 solutions. They reduce direct mainnet gas usage, which could mitigate the burn rate, right?

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u/kevin76·1mo

Definitely a powerful narrative. It's one of the strongest arguments for ETH as a store of value, especially compared to inflationary assets.

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u/nikhilpillai·1mo

I've been looking at similar models, and the numbers do get interesting if network activity really picks up. The constant supply sink could be a game changer.

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u/eadams·1mo

While the deflationary aspect is compelling, let's not forget that high gas fees also deter some users and dApp development. There's a balance to be struck.

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