DeFi Projects Burn 12,233 ETH in a Week! This Altcoin Takes the Lead

The DeFi sector within the Ethereum ecosystem continues to make significant strides, directly impacting ETH supply. These changes, particularly fluctuations in ETH burn rates, are reducing supply and influencing price movements. According to the latest report by Pheonix Group, Uniswap, MetaMask, and 1inch lead the way in ETH burn contributions.

Uniswap: The Leader in Token Burns

As a decentralized exchange enabling token swaps, Uniswap is at the forefront of ETH burns. Over the past week, approximately 1,841.9 ETH—equivalent to $5 million—was burned, highlighting Uniswap’s heavy usage within the Ethereum network.

1inch and MetaMask: Key Gateways to DeFi

1inch, a DEX aggregator offering the best trading rates across multiple platforms, burned 207.7 ETH last week, valued at $558.7 thousand. Similarly, MetaMask, though primarily a digital wallet, burned 200.6 ETH, worth $539.6 thousand. Both projects are integral components of the growing DeFi ecosystem.

0x Protocol and Gnosis: The Unsung Heroes of DeFi

0x Protocol, providing DEX services across various platforms, burned 156.4 ETH, totaling $420.7 thousand. This protocol facilitates P2P trading across different dApps. Gnosis, known for market prediction and DeFi tools, burned 106.1 ETH, or $285.4 thousand, further cementing its role in the Ethereum ecosystem.

Pendle, Kyber Network, Aave, and Others

Pendle burned 38 ETH ($102.2 thousand) by offering yield tokenization solutions, while Kyber Network burned 36.6 ETH ($98.5 thousand). Lending protocol Aave contributed with 24.5 ETH ($65.9 thousand) burned. Other projects such as ParaSwap (22.3 ETH, $60 thousand) and Tokenlon (15.6 ETH, $42 thousand) also made notable burn contributions.

Over the past week, DeFi projects collectively burned 12,233 ETH, reducing the supply by approximately $32.9 million. This highlights the increasing use of DeFi and the potential price impact due to Ethereum’s limited supply. The surge in ETH burns also underscores the significant influence DeFi projects have on the Ethereum network.

In conclusion, DeFi projects are playing a key role in reducing ETH supply, with Uniswap and 1inch leading the charge. The total burn of $32.9 million worth of ETH showcases the growing interest in the DeFi ecosystem and Ethereum’s potential to retain its value.

As reported by Dey There, these developments demonstrate the growing importance of DeFi projects within the Ethereum network, with increased usage leading to higher ETH burns and a tightening supply.

DeFi, ETH burn, Ethereum, Uniswap, 1inch