@tcigglobal
Modeling ETH’s issuance comes down to two core variables:
- Staked $ETH determines baseline issuance to secure the network
- ETH-denominated transaction fees drive the programmatic burn mechanism
These two factors create a dynamic, self-adjusting monetary equilibrium. At the theoretical upper bound, if 100% of ETH were staked and no fees were generated, annual issuance would be capped at 1.51%. In practice, activity on #Ethereum offsets issuance through fee burns, often pushing net issuance toward zero or even negative territory. As institutional adoption and demand for Ethereum block space continue to accelerate, ETH’s issuance dynamics could structurally shift to consistent deflation.
“” ethdigitaloil.com
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