Ethereum Miners Earn 450,000 ETH Through High Network Fees During DeFi Peak

Editor's Note: This article comes fromCointelegraph Chinese (ID: CointelegraphChina), Author: ANTÓNIO MADEIRA, reprinted with authorization by Odaily.

Editor's Note: This article comes fromETHCointelegraph Chinese (ID: CointelegraphChina)

, Author: ANTÓNIO MADEIRA, reprinted with authorization by Odaily.

According to data from the on-chain analysis resource glassnode, Ethereum (

) miners’ revenues surged in September. Although the price of Ethereum did not increase significantly during this period, miners on the Ethereum network also saw their income increase due to high transaction fees.In September, miners earned 450,089 ETH ($168.7 million), a 39% year-on-year increase, and miners earned about $113 million in August.Bitcoin vs. Ethereum - All Miner Revenue Source: glassnode

Ethereum Miners’ Revenues Are Soaring Due to Activity in the Decentralized Finance Sector

peaks in september

secondary titleWBTCandRenBTCDeFi not only provides a strong use case for Ethereum, but also creates new demand for Ethereum, which can be used to pay gas fees for transactions and smart contracts. All of these factors have driven the price of Ethereum forward in 2020, allowing it to far outperform Bitcoin.

Additionally, large amounts of BTC are traded inDigital Assets Data

and, which further increases activity on the Ethereum blockchain. To date, the total value of assets tokenized by anchoring BTC alone has reached about $1 billion.image description

Year-to-date performance of Bitcoin and Ethereum Source:As the revenue of Ethereum miners grows, new participants join the network to earn revenue. The computing power of the Ethereum network has also been growing steadily,Breaking through the all-time high set on October 7, which is another fundamentally bullish signal for ethereum, as it indicates that more participants are investing in the ethereum network.The number of addresses holding ETH continues to increase

, the Ethereum browser wallet MetaMask widely used in DeFi

Reached 1 million users this month

secondary titleaccording toDeFi will make or break Ethereum

DeFi is creating attraction for Ethereum and helping a large number of miners to return to the Ethereum network, but it is also worth noting that due to the congestion of the Ethereum network, transaction fees have reached unsustainable levels.As users compete to seal deals, they must pay higher fees.On Sept. 2, the average fee for a standard transaction on Ethereum was $15, according to Blockchair.

While this is good for miners in the short term, it could make ordinary users abandon DeFi entirely becauseDigital Assets Data

Using smart contracts is too expensive. In fact, this issue may have been one of the main reasons for the sharp correction in DeFi token prices last month.image description

Total value locked in DeFi Source:Although the second layer solution of Ethereumgetting more popular

, but most people don't use them at all. Other more permanent solutions, such as the upcoming Ethereum 2.0, appear to be far from ready, which could lead to competitors such as Binance Smart Chain taking action, or even surpassing Ethereum entirely.Some analysts also believe thatThe DeFi "boom" may be over, as DeFi’s popularity has declined and regulatory intervention looms.。