- Some users paid 2.6 ETH to 5 ETH merely to complete their transactions.
- ETH is burnt for each transaction on the network.
The auction of tokenized land plots in Yuga Labs’ planned Metaverse project, “Otherside,” has pushed Ethereum’s burning rate to a new all-time high (ATH).
ETH Gas Cost Skyrockets
“Otherdeeds” was auctioned by Yuga Labs, the developers of the Bored Ape Yacht Club (BAYC), on Sunday and were referred to be virtual land non-fungible tokens (NFTs). As a result, Ethereum gas costs skyrocketed due to the increased demand for the tokens, with some users paying as much as 2.6 ETH to 5 ETH merely to complete their transactions.
Following the execution of the London hard fork or EIP-1559 update last year, ETH is burnt for each transaction on the network. Over one day on Sunday, Glassnode and Data Always reported that approximately 70,000 ETH had been burnt, more than three times the previous ATH of roughly 20,000 from the middle of January.
According to data from Ultrasound, there has been an average burn rate of 5.81 ETH per minute since August 5, 2021.Money. Otherdeed NFT sales, on the other hand, boosted that statistic to 9.83 ETH per minute for a total of 99,084.65 ETH in the last seven days. Since then, the burn rate has fallen to around 3.9 ETH per minute.
However, Otherdeed NFTs have been at the top for the previous seven days, with about 55,817 ETH, or 56% of all burns. OpenSea is in the second position with 7,152 ETH, although this statistic is a huge improvement over that. In response to a sudden surge in demand for the auction, Yuga Labs has announced plans to develop a blockchain and migrate its BAYC-affiliated ApeCoin to it.
