Definition. The estimated net inflation rate of ETH via the Proof-of-Stake consensus protocol and supply burn via the EIP-1559 protocol. The volume of ETH issued is dictated by the number of Active Validators participating in consensus, with the total minted supply increasing as more validators enter the pool. The chart presents the following traces:

• Nominal Issuance Rate 🔵 — the annualized rate of ETH minted by the protocol each day.

• EIP-1559 Burn Rate 🔴 — the annualized rate of supply burn each day.

• Net Rate of Supply Change 🟣 — the annualized rate of supply change, calculated as Nominal Issuance minus Supply Burned.

Technical. Daily deltas are annualized and normalized by circulating supply:

• Issuance Rate = Daily Issuance x 365 / Circulating Supply 🔵
• Burn Rate = -diff(Burned Supply, 1) x 365 / Circulating Supply 🔴
• Net Rate = Issuance Rate + Burn Rate 🟣

The rates are presented in percentage terms (i.e. a reading of 0.5 = 0.5%).

Interpretation. Positive values indicate ETH supply inflation; negative values indicate ETH supply deflation. The issuance leg is structural — set by the validator count and reward schedule — while the burn leg is demand-driven and moves with network congestion. The net rate therefore oscillates around the issuance baseline, dipping into deflation whenever blockspace demand pushes the burn above the Proof-of-Stake reward flow, and it can be compared directly against the inflation rates of other assets and currencies.

Notes. This chart considers only Proof-of-Stake issuance and the EIP-1559 burn; the overlap of supply issuance between the deprecated Proof-of-Work blockchain and the Proof-of-Stake Beacon Chain is ignored. For a simulated view of the PoW, PoS and combined issuance, refer to Proof-of-Stake Net Supply Change. See also Post-Merge Net Supply Issuance.