Ethereum DeFi Projects Burn 1,361 ETH In A Week
The post Ethereum DeFi Projects Burn 1,361 ETH In A Week appeared on BitcoinEthereumNews.com.
Ethereum’s decentralized finance (DeFi) ecosystem continues to drive significant network activity, with top projects burning 1,361 ETH in the past seven days. The cumulative fee burn, amounting to approximately $2.96 million, highlights the increasing demand for DeFi applications and their role in Ethereum’s deflationary mechanism. According to data sourced from ultrasound. Money and shared by Phoenix Group, key DeFi protocols such as Metamask, Uniswap, and Gnosis have emerged as the largest contributors to Ethereum’s burn rate. Among the top Ethereum-burning projects, Metamask ranks first, having burned 24.3 ETH, valued at $52.8K, over the past seven days. The widely used non-custodial wallet facilitates countless Ethereum transactions, contributing significantly to on-chain activity and gas fees. Uniswap, the leading decentralized exchange (DEX), follows closely behind with 21.7 ETH burned, translating to approximately $47.2K in fees. Uniswap’s high trading volumes and active liquidity pools make it a key driver of Ethereum network usage. Other notable contributors include Gnosis (19.9 ETH, $43.3K), 1inch (19.8 ETH, $43.0K), and Aave (14.9 ETH, $32.4K). These platforms play essential roles in decentralized trading, smart contract execution, and lending protocols, further solidifying their importance in Ethereum’s economy. Ethereum’s Deflationary Outlook and DeFi Burns Beyond the major players, smaller DeFi protocols have also contributed to Ethereum’s deflationary process. Pendle, Kyber Network, 0x Protocol, ParaSwap, and Hex collectively burned over 21.6 ETH, with individual burns ranging from 3.6 to 4.6 ETH. Despite their lower burn rates than top-tier DeFi projects, these platforms remain crucial in enabling diverse, decentralized financial services, such as yield tokenization, cross-chain swaps, and permissionless trading. The Ethereum burn mechanism, introduced through EIP-1559, reduces the circulating supply of ETH by permanently removing a portion of transaction fees. With DeFi activity remaining strong, the continued burning of ETH supports Ethereum’s shift toward a deflationary model. As network demand grows, the…
Filed under: News - @ March 30, 2025 4:04 am