Feb 16, 2023
37% Less ETH on Exchanges Post-Merge
Since the Merge, Ethereum (ETH) has seen a 37% decrease in exchange supply, according to on-chain data shared by crypto analytics firm Santiment. This is a bullish sign as it indicates that ETH is being taken off exchanges and moved into self-custody.
The Merge, a major upgrade to the Ethereum network, took place in September 2022 and moved from a proof-of-work (PoW) to a proof-of-stake (PoS) network. Before the Merge, 19.12 million ETH, worth $31.3 billion, were on exchanges. Now, only 13.36 million ETH, worth $19.7 billion, remain.
The Shanghai hard fork, scheduled for March, will also play a role in the decrease in ETH supply on exchanges. This upgrade will integrate more improvement proposals for network enhancements and allow stakers and validators to withdraw their holdings from the Beacon Chain. Currently, 16 million ETH, worth an estimated $25 billion, are staked on the Beacon Chain.
The deflationary model of ETH has also contributed to the decrease in ETH supply. The London upgrade in August 2021 introduced a fee-burning mechanism through Ethereum Improvement Proposal (EIP)-1559. Since then, 2.9 million ETH, worth $4.5 billion in today’s value, have been burned.
The decrease in ETH supply on exchanges is a positive sign for the web3 space. It indicates that more people are taking control of their assets and are looking to invest in NFTs and other crypto assets. This could lead to an increase in the demand for NFTs, and a surge in the NFT market.
To capitalize on this trend, businesses and individuals can look at NFT marketing as a way to promote their NFTs and increase sales. NFT marketing can include Twitter NFT marketing, NFT promotion, and other strategies. For those looking for more help, there are NFT marketing agencies and web3 agencies that can help with NFT promotion and selling NFTs.Disclaimer: All investment or financial opinions expressed by MoonLanding Media are not recommendations and are intended for entertainment purposes only. Do your own research prior to making any kind of investment. This article has been generated based on trending topics, has not been fact checked and may contain incorrect information. Please verify all information before relying on it.