{"id":75298,"date":"2026-03-06T20:01:53","date_gmt":"2026-03-06T20:01:53","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=75298"},"modified":"2026-03-06T20:01:53","modified_gmt":"2026-03-06T20:01:53","slug":"ethereums-in-a-death-spiral-report-says-and-co-founder-vitalik-buterin-seems-to-agree","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=75298","title":{"rendered":"Ethereum&#8217;s In A &#8216;Death Spiral,&#8217; Report Says\u2014And Co-Founder Vitalik Buterin Seems To Agree"},"content":{"rendered":"<div>\n<p><strong>Culper Research<\/strong> published a short report on <strong>Ethereum <\/strong><a class=\"ticker-link\" data-ticker=\"ETH\" data-exchange=\"CRYPTO\" href=\"https:\/\/www.benzinga.com\/quote\/ETH-USD\" target=\"_blank\" rel=\"noopener\">(CRYPTO: <\/a><a class=\"ticker\" href=\"https:\/\/www.benzinga.com\/quote\/eth\/usd\">ETH<\/a>) on Thursday, calling its economics \u201cimpaired\u201d and warning the network may be entering a \u201cdeath spiral.\u201d<\/p>\n<p>The short seller also accused Fundstrat\u2019s <strong>Tom Lee<\/strong> of \u201cthrowing good money after bad\u201d through his ETH treasury company <strong>BitMine Immersion Technologies<\/strong> <a href=\"https:\/\/www.benzinga.com\/quote\/BMNR\" target=\"_blank\" class=\"ticker-link\" data-ticker=\"BMNR\" data-exchange=\"NYSE\" rel=\"noopener\">(NYSE:<\/a><a class=\"ticker\" href=\"https:\/\/www.benzinga.com\/quote\/BMNR\">BMNR<\/a>).<\/p>\n<p>The report\u2019s title says it all: \u201cWhat Vitalik Knows, and Tom Lee Doesn\u2019t.\u201d<\/p>\n<h2 class=\"wp-block-heading\">What Happened<\/h2>\n<p>In the short <a href=\"https:\/\/culperresearch.com\/wp-content\/uploads\/2026\/03\/Culper_ETH_3-5-2026.pdf\">report<\/a>, Culper says the Fusaka upgrade was supposed to cut transaction fees by 10-30%. <\/p>\n<p>Instead, fees collapsed by roughly 90%, gutting the EIP-1559 burn mechanism that once made ETH deflationary. <\/p>\n<p>The firm says Vitalik and validators \u201cmiscalculated Layer-1 demand elasticity by 3-9x based on outdated math.\u201d <\/p>\n<p>Staking yields have fallen below U.S. Treasuries.<\/p>\n<p>The firm analyzed every ETH transaction from January 2025 through February 2026 &#8230;<\/p>\n<p><a href=\"https:\/\/www.benzinga.com\/markets\/prediction-markets\/26\/03\/51108851\/ethereums-in-a-death-spiral-report-says-and-co-founder-vitalik-buterin-seems-to-agree?utm_source=benzinga_taxonomy&amp;utm_medium=rss_feed_free&amp;utm_content=taxonomy_rss&amp;utm_campaign=channel\" alt=\"Ethereum's\" in a spiral report says co-founder vitalik buterin seems to agree>Full story available on Benzinga.com<\/a><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Culper Research published a short report on Ethereum (CRYPTO: ETH) on Thursday, calling its economics \u201cimpaired\u201d and warning the network may be entering a \u201cdeath spiral.\u201d The short seller also accused Fundstrat\u2019s Tom Lee of \u201cthrowing good money after bad\u201d through his ETH treasury company BitMine Immersion Technologies (NYSE:BMNR). The report\u2019s title says it all: [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"iawp_total_views":0,"footnotes":""},"categories":[2],"tags":[3,4,5],"class_list":["post-75298","post","type-post","status-publish","format-standard","hentry","category-news","tag-crypto","tag-doge","tag-news"],"_links":{"self":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/75298","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=75298"}],"version-history":[{"count":0,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/75298\/revisions"}],"wp:attachment":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=75298"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=75298"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=75298"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}