Definition. With the activation of EIP-1559, the supply of ETH that is burned in the BASEFEE can be valued by multiplication with the spot price. This models the USD value which was effectively removed from circulation by the burn mechanism, both on a daily basis and in total. The chart presents:

• 🔵 Daily Value Burned: the total ETH burned that day, valued at the spot price.

• 🔴 Cumulative Value Burned: the cumulative sum of daily value burned.

Technical. The traces are constructed from the cumulative burned supply and price:

• Daily Value Burned = diff(Burned Supply, 1) x Price 🔵
• Cumulative Value Burned = cumsum(Daily Value Burned) 🔴

Note the daily burn is valued at the price on the day it occurred, so the cumulative trace records the value destroyed at burn time rather than marking past burns to the current price.

Interpretation. Denominating the burn in USD frames EIP-1559 as an economic sink: it expresses how much market value the network has retired in exchange for blockspace. Spikes in daily value burned combine two forces — elevated network congestion (more ETH burned) and elevated prices (each burned ETH worth more) — so the largest prints tend to occur when heavy on-chain activity coincides with strong markets. The steadily growing cumulative trace gauges the aggregate scale of the mechanism since activation.

Notes. Built from Burned Supply. See also the native-unit Daily Supply Burned, Percent of Minted Supply Burned, and the Annual Rate of Supply Issuance, Minting, and Burning.