Summary
- Grayscale said Ethereum (ETH) and Solana (SOL) could eventually become scarcer than gold as new supply growth slows.
- According to the report, new proposals are being advanced to increase token burns and lower inflation for both assets.
- Grayscale said that if the proposals are adopted, annual inflation rates could fall below gold's rate of about 1.8% and the U.S. CPI rate of about 3.3% by 2031, slowing supply growth and increasing scarcity.
Forecast Trend Report by Period
Ethereum and Solana could become scarcer than gold over time as growth in new supply slows, according to Grayscale.
In a report cited by Binance News on August 14, Grayscale said new proposals are being advanced on the Ethereum and Solana networks to increase token burns and reduce inflation.
If those proposals are adopted, the annual inflation rates for Ethereum and Solana could fall below gold's supply growth rate of about 1.8% by 2031, Grayscale said. That would also put them below the roughly 3.3% rise in the U.S. consumer price index.
Grayscale added that the amount of newly issued Ether and Solana could decline sharply in the coming years, slowing supply growth and increasing scarcity.
JH Kim
reporter1@bloomingbit.ioHi, I'm a Bloomingbit reporter, bringing you the latest cryptocurrency news.