Golden Finance reported that Fidelity Digital Assets said in a report last week that the Ethereum blockchain experienced its highest inflation period last quarter, with the total supply increasing by about 110,000 ether (ETH), equivalent to an annual inflation rate of 0.37%. Analysts Daniel Gray and Max Wadington wrote that while the supply of ether is unlikely to fluctuate dramatically in the short to medium term, the growing preference for low-fee layer 2 platforms and the increase in staking demand suggest that inflation quarters may become more frequent. The report said that the number of validators on the network has increased by 5% since April, and the recently introduced re-staking function may further increase staking demand.