Fidelity Digital Assets said in a report released recently that the Ethereum blockchain experienced the highest inflation period in the last quarter, with the total supply increasing by about 110,000 ETH, equivalent to an annual inflation rate of 0.37%. Analysts Daniel Gray and Max Wadington wrote: "While the supply of Ethereum is unlikely to see sharp fluctuations in the short to medium term, the growing preference for lower-fee L2 platforms and increased demand for staking suggest that periods of inflation may become more frequent." The report claims that the number of validators on the Ethereum network has increased by 5% since April this year, and the recent introduction of re-staking could further increase the demand for staking.