The number of Ethereum being issued daily has drastically been cut since the Merge, on-chain data show, suggesting that the asset is on its way to becoming deflationary. According to data from Ultra Sound Money, Ethereum’s issuance rate has fallen by 98% since the Merge. Since its transition, the network’s supply has grown by 7,385.47 ETH, whereas if it were still running on the Proof-of-Work (PoW) consensus model, it would have added 128,422.13 ETH. Some have argued that the decline in token issuance is not just a result of the transition to PoS. They have attributed this change to reduced activity on the Ethereum network, which means gas fees are also lower.
Ethereum Sees 98 Decrease in ETH Issuance Since Merge
