Most DeFi projects are built on the Ethereum blockchain. These projects are redefining the way Ethereum operates. As more people use these decentralized platforms, they not only help to burn ETH from circulating supply, but they also assist in driving up ETH’s price and demand. Today, data reported by Phoenix Group highlighted major DeFi projects that made massive contributions to Ethereum burning over the past week (from Saturday, March 8 to Saturday, March 15).
DeFi platforms with the highest ETH burns
Gnosis
Gnosis, a decentralized prediction market protocol running on top of the Ethereum blockchain, emerged as the leader. It burned the largest amount of ETH from circulation over the last week. It burned a whopping 19.4 ETH 19.4 ($37,100) over the week. This shows that Gnosis is not just a huge platform in the cryptocurrency landscape, but also a key player in decreasing ETH supply.
Metamask
Metamask, a major Ethereum-based multi-chain crypto wallet, took the second position after it burned a total amount of 18.5 ETH ($35,400) over the period. Metamask functions as an avenue to the DeFi ecosystem, allowing people to engage with DApps and protocols for various investment activities. The figure above is a big amount indicating how much consumers are using the network to interact with DApps. Each time a user makes a transaction on Metamask, the platform channels part of that fee to ETH burning, which decreases its overall supply.
Aave
Aave is also a serious contributor to ETH burning. It settled on the third position after it decreased a total amount of 17 ETH ($32,500) from circulation. Aave, a DeFi platform running on top of Ethereum, enables people to lend and borrow digital assets, earning interest on various activities without intermediaries. These figures indicate show that Aave is a prominent player facilitating DeFi activities and ETH burning.
Uniswap
It was followed by Uniswap, which burned 16.6 ETH ($31,700). Uniswap, a DEX platform built on Ethereum, is a major participant in the DeFi world, enabling people to engage in various peer-to-peer crypto trading activities without intermediaries’ involvement. Burning this amount of ETH over the week indicates that many people are using Uniswap to access DeFi products, as a result, it helps to reduce Ether supply.
1Inch
Next was 1Inch, which burned 12.1 ETH ($23,100) over the past week. 1inch, a DeFi platform running on top of Ethereum, is a DEX aggregator that provides users with the best exchange rates for transacting assets from different DEXs. The numbers above indicate that 1Inch has become a larger ETH burner, propelled by increased numbers of people using the platform.
Others
Other DeFi projects, which gained visibility for their contribution to Ether burning over the week include Pendle, 0x Protocol, ParaSwap, Kyber Network, and Chainlink.
Pendle took the sixth position after it burned 4.5 ETH ($8,600) during the week. 0x Protocol followed with a burn of 2.8 ETH ($5,400). ParaSwap took the eighth place with a burn of 2.6 ETH ($5,000). Finally, Kyber Network and Chainlink removed Ether equivalent to 2.3 ETH ($4,400) and 2 ETH ($3,800) respectively from Ethereum supply over the week.
