Ethereum is experiencing a significant increase in inflation following the Dencun update, with over 350,000 ETH added to its supply since March, totaling 120.4 million ETH. The current inflation rate stands at 0.35%, nearing pre-Merge levels. The update reduced base fee burn rates and improved data availability, resulting in more ETH issuance than burning. The rise in inflation is also attributed to the growing ETH staking ratio, where validators earn rewards by securing the network. Approximately 34.7 million ETH is currently staked, contributing to network security but also increasing supply. Restaking practices further compound the inflationary impact. The article also touches on topics like DeFi, mining, and culture, emphasizing the transformative potential of decentralized technology. Stay updated on the latest crypto news and exercise caution in cryptocurrency investments. Read more AI-generated news on: https://app.chaingpt.org/news

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