$ETH
1) Protocol & consensus — what changed and why it matters
The Merge (PoW → PoS): completed Sept 15, 2022. Mining was replaced by staking validators; energy use dropped sharply and the issuance schedule shifted (less new ETH issued per time). This change was primarily about sustainability and creating a base for future scaling improvements.
Shanghai (withdrawals) and upgrades: subsequent hard forks (e.g., Shanghai in 2023) allowed staked ETH withdrawals and incremental client improvements, making staking more flexible for holders and institutions. (Shanghai enabled withdrawals; it activated in 2023.)
---
2) Scaling roadmap — how Ethereum gets cheaper/faster
Layer-2 rollups are central. Rather than trying to make every transaction cheap on the base layer, Ethereum’s roadmap pushes user activity to L2 rollups (optimistic and zk rollups) which batch transactions and anchor security to Ethereum. L2s now carry a large share of transaction volume and TVL.
Proto-danksharding / EIP-4844: this is a near-term protocol feature that creates a temporary “blob” data space aimed specifically at massively reducing rollup data costs — a big step toward much cheaper user transactions and better L2 economics. That upgrade is one of the biggest near-term scalability gains for rollups.
---
3) Economic model & supply dynamics
Issuance + burning: After PoS and EIP-1559 fee burning, net issuance can be very low or temporarily negative (i.e., supply contraction) when on-chain activity—and burn—are high. This structural mechanism converts high demand into downward pressure on free float.
Staking lockup & circulating supply: a significant portion of ETH is locked in staking (validators), reducing liquid supply. Daily supply metrics (aggregate ETH supply trending around ~117–120M as of recent data) show supply dynamics are tight relative to prior years. That locked supply amplifies price sensitivity to demand shocks.
#CPIWatch #BinanceBlockchainWeek #BTCVSGOLD #WriteToEarnUpgrade #USJobsData