Jan 16
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The Ethereum network has fundamentally changed as of December 3rd. In this deep dive, we break down the immediate impact of the Fusaka Upgrade going live and analyze the on-chain data suggesting the ETH Burn Rate is set to double. We explain why this wasn't just a scalability upgrade, but a monetary policy overhaul that fixes the "parasitic" relationship between Layer 2s and the mainnet. We focus on the critical inclusion of EIP-7918, which introduces a "reserve price" (floor) for data blobs. We explain the math: previously, L2s like Base and Arbitrum paid pennies for security, often leading to inflationary periods for ETH. Now, with a mandatory burn floor coupled with the 8x capacity boost from PeerDAS, higher L2 volume directly translates to higher L2 burn. We discuss the "Supply Squeeze" thesis—how this new burn mechanism, combined with institutional lock-ups from treasuries like $BMNR, creates a deflationary flywheel just as demand hits all-time highs. ⚠ Disclaimer: This video was made using AI tools. It is for educational and informational purposes only and does not constitute financial advice. Always do your own research before making investment decisions. Trading and investing involve risk. #Ethereum #Fusaka #BurnRate #EIP1559 #CryptoNews #StockMarket #Investing #Deflation #Layer2 #Finance