Meet The Obscure Token That Ate Up Nearly Half Of Ethereum’s Recent Gas Usage

2022-10-11 04:38

A new Ethereum-based token is burning ETH at a rapid clip and has diluted in price just as quickly – but all by design. The XEN token has accounted for nearly half of Ethereum gas in a 24-hour window in recent days. What is it, and where did it come from?

Let’s take a brief look at the XEN mechanism, what it’s all about, and where things go next.

A Costly Token At A Cheap Price

The XEN token has burned nearly $2M in Ethereum in the past two days and peaked at 53% of Ethereum usage, according to the project’s Twitter account. Even as the dust has settled, at time of publishing the project still composed over 35% of gas usage over the past 24 hours. XEN is hogging ETH gas usage, but…. what is it?

The freshly launched project aims to be a vehicle to burn Ethereum, adding deflationary fuel to the fire. This has substantially contributed to deflationary activity in Ethereum, reducing peak post-merge supply by roughly 5,000 ETH in recent days (according to data dashboard ultrasound.money) – but with an inflationary price mechanism. Xen is currently fueling the top ‘trending’ dashboard on Dune Analytics at time of publishing too, with the XEN Dashboard (there are a number of other informative dashboards in the top trending page on Dune as well).

Most crypto veterans and skeptics are wary of projects like this, many citing HEX and other inflationary/deflationary mechanisms that haven’t succeeded in the past. Others have cited likely botting within the project (of which XEN’s website proclaims to be a “non-issue argument”).

If early price action is any indication, XEN is likely best seen as a contributor to Ethereum's burn. | Source: XEN-USDC on TradingView.com Ethereum’s Deflation…

Prior to last month’s merge event, which shifted Ethereum to proof-of-stake, crypto speculators generally were in consensus that Ethereum would turn to a more deflationary asset once the merge was complete. However, in the weeks following the transition, Ethereum has largely been inflationary – up until the XEN token’s push. The result has led to inflationary price action on the XEN token (to be expected, particularly as the project touts a free mint) and deflationary supply movement in ETH (which is likely a sight for sore eyes for ETH holders).

On one hand, while ETH holders and supporters likely support the deflationary supply movement, they’re to be less enthused that it took an external token to do so – particularly one that is simply dedicated to doing just that. It bodes well for short-term supply but only suggests that there are long term hurdles to overcome.

Featured image from Pixabay, Charts from TradingView.com The writer of this content is not associated or affiliated with any of the parties mentioned in this article. This is not financial advice. This op-ed represents the views of the author, and may not necessarily reflect the views of Bitcoinist. Bitcoinist is an advocate of creative and financial freedom alike.

Similar to Notcoin - Blum - Airdrops In 2024

origin »

Waves Community Token (WCT) на Currencies.ru

$ 0 (+0.00%)
Объем 24H $0
Изменеия 24h: 0.00 %, 7d: 1.05 %
Cегодня L: $0 - H: $0
Капитализация $0 Rank 99999
Цена в час новости $ 0.1615 (-100%)

token ethereum recent half gas nearly quickly

token ethereum → Результатов: 126


MasRelic – Real Estate Platform Launches RELIC Token on Ethereum Blockchain

MasRelic, a small cap start-up located 7 miles from one of the seven blockchain hubs of the world, New York City, has launched its new RELIC token on the Ethereum Blockchain on UniSwap.  The RELIC token is the native utility token that is used for: DeFi Farming Reflections  Ethereum Reflections  Synthetic Real Estate  Utilization of … Continued The post MasRelic – Real Estate Platform Launches RELIC Token on Ethereum Blockchain appeared first on BeInCrypto.

2022-8-3 01:30


Фото:

Ethereum scaling solution StarkWare announces token launch

StarkWare, an Ethereum scaling solution that uses cryptographic proofs called Starks to help scale the blockchain, has launched a native governance token, details shared on Wednesday show. The startup says the token, dubbed “StarkNet Token”, is a critical step in the platform’s decentralization following its mainnet launch on Ethereum in November 2021.

2022-7-14 20:36


Компания-разработчик ZCash выпустит токен для блокчейна Ethereum

Разработчик криптовалюты ZCash компания Electric Coin Company (ECC) выпустит «коробочный» токен ZEC для блокчейна Ethereum. Об этом на конференции разработчиков Ethereum Devcon5 заявил вице-президент по маркетингу и развитию бизнеса ECC Джош Свихарт, сообщает CoinDesk.

2019-10-15 14:14


ERC-20 token standard creator proposes to make ICOs reversible

Fabian Vogelsteller, the developer of Ethereum’s ERC-20 token standard, has proposed a new approach in a bid to make the funding schemes more safe for would-be investors. Speaking in Prague on Tuesday at ethereum’s annual developer conference Devcon4, Fabian Vogelsteller proposed a “reversible ICO,” or RICO, that would allow token investors to take back their […]

2018-10-31 21:15


Prior best rated trio crypto exchange btcc reopens, announces future release of native tokeb

BTCC, formerly known as BTC China, has relaunched its crypto trading platform and revealed plans to issue its own native token, according a company announcement Monday, July 2. The rehauled crypto exchange is now live, offering trading for Bitcoin (BTC), Bitcoin Cash (BCH), Ethereum (ETH) and Litecoin (LTC) against the U.S. dollar, as well as

2018-7-2 17:58


Фото:

Meme On: How to Make a Joke Coin Last

Between the dramatic drop in the possibility of imminent alien enslavement, and the SEC giving Ethereum the thumbs-up, there’s a lot to celebrate in the headlines. But as the champagne popped and the fireworks started, there was one thought on every mind: whatever happened to PotCoin?  After a four-year hiatus, the token for tokin’ suddenly […] The post Meme On: How to Make a Joke Coin Last appeared first on Crypto Briefing.

2018-6-26 19:06