Ethereum has been through a lot in its short life. From the DAO hack to the Parity wallet freeze, Ethereum has faced some challenges.
The community has responded to each of these challenges and Ethereum has come out stronger for it. One way the community has shown its dedication to Ethereum is through Ethereum’s unique method of “burning” ETH.
When a user sends ETH to a smart contract, they are actually burning that ETH. The ETH is then removed from the total supply of ETH, making it permanently unavailable.
This may seem like a strange way to show dedication to a project, but it does have its benefits.
For one, it shows that the user is committed to Ethereum and is willing to sacrifice their ETH for the good of the platform. This type of behavior is necessary for a decentralized platform like Ethereum to succeed.
Without users who are willing to sacrifice their ETH, Ethereum would not be able to function.
Another benefit of burning ETH is that it helps to secure the network. By removing ETH from the total supply, it becomes more difficult for attackers to 51% attack the network.
This is because they would need to control a larger percentage of the total supply in order to have enough ETH to perform a successful attack.
So far, over 1 million ETH has been burned by users sending it to smart contracts. This represents a significant amount of value that is now permanently removed from circulation.
As Ethereum continues to grow and attract more users, we can expect the amount of ETH burned to increase as well.
The burning of ETH is just one way that the community has shown its dedication to Ethereum. Through thick and thin, the community has stood by Ethereum and helped it overcome some major challenges.
As Ethereum enters its next phase of growth, we can expect even more great things from this incredible project.