Ethereum Becomes Deflationary as XEN Crypto Degens Join the Chaos
Over the weekend, a new cryptocurrency project consumed the most Ethereum transaction fees, forcing its supply to fall.
A new project named XEN Crypto has occupied over half of Ethereum’s block space, causing network issuance to decrease and gas costs to rise.
DeFi analyst ‘@0xfoobar’ revealed that users had spent about $1.8 million in gas costs to engage with the token contract, which has a market value of $500k.
As a consequence, the supply of Ethereum has been declining since October 8. The Ultrasound.Money dashboard now displays a -0.41% supply increase, indicating that the asset has become deflationary, at least for the time being. In the previous twenty-four hours, XEN Crypto has burned almost 1,300 ETH worth around $1.7 million.
XEN is a project founded by the “Fair Crypto Foundation” and supported by Jack Levin, one of the original Google cloud infrastructure workers. The token’s zero-supply, lack of pre-minting, CEX listings, administrator keys, and immutable contracts are designed to empower the person.
Foobar said that it “copies a few HEX-like mechanisms, but the main point is that an APY exists,” implying that it has Ponzi-like characteristics.
XEN, which was released on October 8th, may be claimed, minted, or staked, and is built on the first crypto principles: self-custody, transparency, confidence via consensus, and trustless value exchange without credit risk.
In accordance with the XEN Network dashboard, there have been 369,515 active miners since the cryptocurrency’s inception over the weekend. The total amount of tokens is 174 million, and the APY for token staking is 20%. Minting is free, however, it requires gas, and costs are increasing owing to the rising demand for this asset.