According to specialists of analytics company Glassnode, four days after the transition of the Ethereum blockchain to the proof-of-stake consensus algorithm, the daily coin issuance has decreased by 92.87%, from 48,400 ETH to 3,893 ETH.
According to them, following The Merge, increased demand in the blockchain space has driven an increase in the average price of gas, leading to deflation over the next 12 hours.
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This was followed by a slowdown in network activity with a reduction in transaction fees and a return to growth in ETH supply, but at a much slower pace compared to the state prior to The Merge.
Glassnode specialists have simulated ETH issuance under various conditions during the time since the introduction of EIP-1559.
According to them:
"The PoS model sports a dramatically lower issuance rate of ~772 ETH/day, compared to ~12.5k ETH for the PoW model. However, it is noted that net ETH issuance is, at present, still inflationary. This is primarily a result of extremely low blockchain congestion, and low network utilization at the moment."