Cryptocurrency Q&A Why does ETH have unlimited supply?

Why does ETH have unlimited supply?

Elena Elena Sat Jan 04 2025 | 6 answers 1188
I'm wondering why Ethereum, or ETH, has an unlimited supply. Unlike some other cryptocurrencies that have a fixed supply, it seems like there's no cap on the amount of ETH that can be created. I'd like to understand the reason behind this design choice. Why does ETH have unlimited supply?

6 answers

Lorenzo Lorenzo Mon Jan 06 2025
Ethereum's native currency, ether, possesses a unique characteristic in that its supply is unlimited.

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Lucia Lucia Mon Jan 06 2025
With the creation of each new block on the Ethereum blockchain, additional ETH is generated and added to the circulating supply.

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CryptoQueenBee CryptoQueenBee Mon Jan 06 2025
Simultaneously, a portion of the existing ETH in circulation is burned or removed from the supply with each transaction that takes place on the network.

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HanRiverVision HanRiverVision Mon Jan 06 2025
This dual process of creation and burning results in a fluctuating supply of ether over time.

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SumoPowerful SumoPowerful Sun Jan 05 2025
In contrast to Ethereum's dynamic supply, Bitcoin's supply is rigidly fixed at a maximum of 21 million coins.

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