Ethereum 
$2,705 Developments in the ecosystem and the DeFi sector affect the ETH supply. These changes, especially with fluctuations in ETH burn rates, lead to a decrease in supply and price movements. The latest report published by Pheonix Group highlights Uniswap, MetaMask and 1inch as the leading projects in ETH burning.
Uniswap: Leader in Token Burning
Uniswap is leading the way in burning ETH as a decentralized exchange that provides token swaps. Approximately 1,841.9 ETH, or $5 million, was burned last week. This shows how heavily used Uniswap is on Ethereum.
1inch stands out as a DEX aggregator that provides the best trading rates among various DEXs. Last week, it burned 207.7 ETH, or approximately $558.7 thousand. Although MetaMask is just a digital wallet, this week it burned 200.6 ETH, that is, 539.6 thousand dollars. These two projects are among the important components of the DeFi ecosystem.
0x Protocol and Gnosis: DeFi’s Hidden Players
0x Protocol burned 156.4 ETH, or 420.7 thousand dollars, by providing DEX services on various platforms. This protocol facilitates P2P trading between different dApps. Gnosis, as a platform that offers market prediction and DeFi tools, burned 106.1 ETH, that is, 285.4 thousand dollars. Gnosis’s role in the Ethereum ecosystem is increasing.
Pendle, Kyber Network, Aave and Others
While Pendle burned 38 ETH, or $102.2 thousand, by offering a yield tokenization solution, Kyber Network burned 36.6 ETH, or $98.5 thousand. Aave, one of the lending protocols, burned 24.5 ETH, that is, 65.9 thousand dollars. Other projects include ParaSwap and Tokenlon. ParaSwap burned 22.3 ETH ($60k) and Tokenlon burned 15.6 ETH ($42k).
Last week, DeFi projects reduced ETH supply by a total of 12,233 ETH, or approximately $32.9 million. This shows that DeFi usage is increasing and prices may be affected due to the limited supply of ETH. The increase in ETH burning also reveals how big the impact of DeFi projects is on Ethereum.
As a result, DeFi projects reduce the ETH supply, and Uniswap and 1inch especially come to the fore in this process. In total, $32.9 million worth of ETH was burned. This is indicative of growing interest in the DeFi ecosystem and the potential for Ethereum to retain its value.
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that crypto currencies carry high volatility and therefore risk, and should carry out their transactions in line with their own research.
