Research: Is ETH inflationary or deflationary after the Merge?

One of the most heated debates surrounding Ethereum’s transition to a Proof-of-Stake network focused on the issuance of ETH. The leading narrative behind the Merge was that it was supposed to make ETH a deflationary currency. Since the Merge was completed on September 15, ETH issuance has been drastically reduced. The estimated annual issuance in … Read more

Research: Ethereum’s move to PoS is trading off decentralization for scalability

With the Merge finally completed, Ethereum is now running as a Proof-of-Stake (PoS) network. However, its transition from a Proof-of-Work (PoW) system has been highly controversial. Supporters of PoW mining feared that staking would centralize the network and threaten its independence. Those fighting for a PoS network touted the scalability and precision that would arise … Read more

CryptoSlate Wrapped Daily: Wintermute hacked of $160M, SEC claim jurisdiction over Ethereum transactions

The biggest news in the cryptoverse for Sept 20 includes Wintermute losing $160 million to DeFi operation hack, Ethereum developer confirming that Shanghai upgrade will not unlock staked ETH, Experts arguing that SEC cannot claim jurisdiction over Ethereum transactions, MicroStrategy buys an additional 301 Bitcoin for $6 million. CryptoSlate Top Stories Wintermute reveals $160M hack … Read more

Research: State of Ethereum derivatives market post-Merge

Previous research conducted by CryptoSlate suggested the Ethereum Merge would be a buy-the-rumor, sell-the-news event. With that coming to pass, as ETH sunk 20% over the last seven days, what does a current analysis of the derivatives market reveal? Ethereum Futures Perpetual Funding Rate Perpetual Funding Rates refer to periodic payments made to or by … Read more

Research: ETH hit peak dominance against BTC going into the Merge

Ethereum‘s dominance over Bitcoin has been increasing since July 2021, and the Merge occurred at peak dominance over the flagship crypto. The chart below compares Bitcoin and Ethereum’s market caps against one another to determine which is dominant, starting from 2016. The black areas indicate the BTC/ETH dominance. When it exceeds the pink line, it … Read more

Research: Ethereum price volatility expected post-Merge as open interest options soar with bearish divergence

The eagerly anticipated Ethereum Merge is expected to occur on Sept. 15. This will consolidate the existing Proof-of-Work (PoW) execution layer to the concurrently running Proof-of-Stake (PoS) Beacon chain. Proponents expect this to bring scaling and environmental benefits. Although the run-up to the Merge has seen a significant jump in price, growing 90% since bottoming … Read more

Research: Ethereum gas usage by stablecoins, DeFi, NFTs, and ERC -20 contracts

Gas fees refer to the cost of conducting a transaction or executing a contract. For example, this could take the form of exchanging into a stablecoin or minting an NFT. Since the summer of 2020, Ethereum gas fees took off primarily due to the explosion of DeFi use on the chain. Although network activity has … Read more

Research: As the merge approaches, on-chain data suggests ETH used as store of value

According to on-chain data, as the merge approaches, the dominant behavior across the Ethereum network is to HODL. Coins held by Ethereum investors are maturing to showcase a higher number of HODLers unwilling to sell. Within the Ethereum ecosystem, just under 60% of investors have held for more than one year, compared with Bitcoin, which … Read more

CryptoSlate Wrapped Daily: Coinbase bankrolls Tornado Cash users’ lawsuit; Terra Classic makes 1,900% comeback led by community

The biggest news in the cryptosphere for Sept. 8 includes Coinbase financing the lawsuit against the U.S. Treasury Department over Tornado Cash, Terra Classic’s community-led revival and an attack on the New Free DAO protocol. CryptoSlate Top Stories Bitcoin holds steady as ECB implements 75 bps rate hike Despite European Central Bank’s (ECB) announcement regarding … Read more

Research: Liquidations, volatility expected ahead of Ethereum’s Merge as leverage, open interest and shorts hit all-time high

Ahead of The Merge in September, several on-chain datasets indicate a volatile end to proof-of-work on Ethereum. Will Ethereum rally into Merge Day, or will there be a widespread “sell the news” event? Estimated Leverage Ratios The volume of leverage within the Ethereum ecosystem has hit all-time highs going into The Merge. The impact can … Read more