Grayscale’s Pandl says ETH issuance model resembles that of a small country

Grayscale Head of Research Zach Pandl said Ethereum’s ETH issuance model resembles that of a small country. Pandl explained that if Ethereum were a country, the only public service it would provide would be protecting property rights and the system for exchanging value. Instead of collecting taxes, Ethereum funds spending by issuing new currency and covering costs through "seigniorage revenue." He added that stakers provide the property-rights protection service and receive newly issued ETH in return. In that sense, Pandl said, ETH’s staking model and issuance mechanism can be seen as a combination of fiscal and monetary policy.