Ethereum

Evan

Merge

April

<ul>
 <li><em>Buterin’s proposal to restrict the maximum supply to 120,204,432 was rejected earlier.</em></li>
 <li><i>As of this writing, 120,203,611 ETH coins were in circulation.</i></li>
</ul>
<p><a href="https://ambcrypto.com/search/Ethereum" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="internal">Ethereum’s [ETH]</a> supply dipped below the hard cap proposed by co-founder Vitalik Buterin some five years ago, sparking discussions about the asset’s monetary policy within the community.</p>
<p>Noted Ethereum developer <a href="https://x.com/evan_van_ness/status/1735462244136189953?s=20" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="external">Evan Van Ness</a> took to social platform X to draw attention to this intriguing development.</p>
<h4><strong>Vitalik’s dream comes to life!</strong></h4>
<p>Buterin’s <a href="https://github.com/ethereum/EIPs/issues/960" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="external">proposal</a> to restrict the maximum supply to 120,204,432 was rejected in April 2018. However, little did he know that his objectives would ultimately come to fruition albeit through a different approach.</p>
<p>As of this writing, 120,203,611 ETH coins were in circulation, AMBCrypto discovered using ultra sound money data.</p>
<div id="attachment_358969" style="width: 100%" class="wp-caption aligncenter"><a href="https://statics.ambcrypto.com/wp-content/uploads/2023/12/ETH-supply-1.jpg" data-wpel-link="internal" rel="noopener noreferrer nofollow"><img aria-describedby="caption-attachment-358969" decoding="async" class="size-full wp-image-358969" src="https://statics.ambcrypto.com/wp-content/uploads/2023/12/ETH-supply-1.jpg" alt="" width="1160" height="371" srcset="https://statics.ambcrypto.com/wp-content/uploads/2023/12/ETH-supply-1.jpg 1160w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/ETH-supply-1-300x96.jpg 300w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/ETH-supply-1-1024x328.jpg 1024w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/ETH-supply-1-768x246.jpg 768w" sizes="(max-width: 1160px) 100vw, 1160px"></a>
 <p id="caption-attachment-358969" class="wp-caption-text">Source: ultra sound money</p>
</div>
<p>Unlike <a href="https://ambcrypto.com/search/BITCOIN" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="internal">Bitcoin [BTC]</a>, ETH doesn’t have an issuance limit. Buterin’s case for limiting ETH supply stemmed from concerns about centralization in the then proof-of-work (PoW) mechanism, as well as a desire to improve the coin’s long-term market prospects.</p>
<p>As per the proposal, the supply would exponentially approach the max cap and the rewards would exponentially approach zero, much on the lines of Bitcoin.</p>
<p>However, much water has flown under the bridge. Three years after his suggestion was dismissed, Ethereum implemented <a href="https://ambcrypto.com/this-is-how-the-ethereum-chain-has-reacted-to-eip-1559/" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="internal">EIP-1559</a> as part of the London Hardfork. This included burning a portion of gas fees paid to miners, thus driving coins out of circulation.</p>
<p>A year later, <a href="https://ambcrypto.com/ethereum-eth-issuance-concerns-addressed-ahead-of-the-merge/" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="internal">the Merge</a> was executed, marking a shift from the PoW to the proof-of-stake (PoS) model. The pivotal event applied considerable deflationary pressure on ETH.</p>
<p>As seen by AMBCrypto, more than 307,000 ETH have exited circulation since the event, causing the net supply to shrink at an annual rate of 0.211%. The circulating supply was projected to drop to 117 million by the end of December 2025.</p>
<div id="attachment_358978" style="width: 100%" class="wp-caption aligncenter"><a href="https://statics.ambcrypto.com/wp-content/uploads/2023/12/ETH-supply-merge.jpg" data-wpel-link="internal" rel="noopener noreferrer nofollow"><img aria-describedby="caption-attachment-358978" decoding="async" class="size-full wp-image-358978" src="https://statics.ambcrypto.com/wp-content/uploads/2023/12/ETH-supply-merge.jpg" alt="" width="560" height="352" srcset="https://statics.ambcrypto.com/wp-content/uploads/2023/12/ETH-supply-merge.jpg 560w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/ETH-supply-merge-300x189.jpg 300w" sizes="(max-width: 560px) 100vw, 560px"></a>
 <p id="caption-attachment-358978" class="wp-caption-text">Source: ultra sound money</p>
</div>
<p>&nbsp;</p>
<p style="text-align: center;">Read&nbsp;<a href="https://ambcrypto.com/predictions/ethereum-price-prediction" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="internal">ETH’s Price Prediction</a>&nbsp;2023-24</p>
<h4><strong>ETH looks set to push higher</strong></h4>
<p style="text-align: left;">As of this writing, ETH stayed strong above $2,200, according to <a href="https://coinmarketcap.com/currencies/ethereum/" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="external">CoinMarketCap</a> data. Profit-taking by weak hands pulled the crypto down by more than 3% over the week.</p>
<p>However, the broader sentiment still tilted towards buying. AMBCrypto’s examination of Hyblock Capital revealed a predominantly greedy ETH market. This could continue to sustain the momentum in the days to come.</p>
<div id="attachment_358979" style="width: 100%" class="wp-caption aligncenter"><a href="https://statics.ambcrypto.com/wp-content/uploads/2023/12/ETHUSDT_2023-12-15_16-49-06.png" data-wpel-link="internal" rel="noopener noreferrer nofollow"><img aria-describedby="caption-attachment-358979" decoding="async" class="size-full wp-image-358979" src="https://statics.ambcrypto.com/wp-content/uploads/2023/12/ETHUSDT_2023-12-15_16-49-06.png" alt="" width="1320" height="543" srcset="https://statics.ambcrypto.com/wp-content/uploads/2023/12/ETHUSDT_2023-12-15_16-49-06.png 1320w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/ETHUSDT_2023-12-15_16-49-06-300x123.png 300w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/ETHUSDT_2023-12-15_16-49-06-1024x421.png 1024w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/ETHUSDT_2023-12-15_16-49-06-768x316.png 768w" sizes="(max-width: 1320px) 100vw, 1320px"></a>
 <p id="caption-attachment-358979" class="wp-caption-text">Source: Hyblock Capital</p>
</div>

How Vitalik Buterin’s plans for Ethereum came to fruition

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