Vitalik Buterin from Ethereum recently commented on the maximum ETH supply, stating that the current issuance schedule is around 4.7 million per year for the next 1-2 years, or however long it takes until the merger . After the same, it would be 0 to 2 million per year minus the burnt fees which could be higher than the issuance once the point of sale is fully in place, he added.
However, Buterin’s statements have been criticized by some, many of whom have argued that ETH is taking the position of “printing the right time.” This criticism was just the latest round of the debate over the absence of a hard cap for ETH, with Bitcoin’s cap of $ 21 million often being used to argue against those who support Ethereum.
In fact, Bitcoin maximalists have often been among the first to object, with BTC supporters like Anthony Pompliano once tweeting calling ETH “ bad money. ”
The Ethereum community cannot determine what the exceptional total supply of the asset is.
This is a BIG problem and shows why ETH is not good money.
I will explain Monday morning.
– Pomp 🌪 (@APompliano) August 8, 2020
However, as Ryan watkins de Messari was quick to point out that ETH has gone from a piggy bank for ICOs to a booming digital economy.
When examining the growth and maturity of the DeFi ecosystem, with several projects opting to rely on the Ethereum blockchain, despite the high gas fees, Ethereum’s usefulness is clearly not exclusively linked to the scarcity of its supply or its absence.
However, as EIP1559 suggests, Ethereum will soon undergo a significant change in monetary policy with the introduction of a deflationary mechanism at ETH, which will mean a large-scale transformation. According to Buterin,
“Realistically, for the next 2 years, Ethereum will be a rapidly transforming ecosystem.”
However, many would argue that such a transformation must go hand in hand with progress, and progress has been slow, especially since staking in the deposit contract has been slower than expected, despite community support to Buterin and the Ethereum development team.