Institutionalization, stablecoins and tokenization underlie financial innovations on public blockchains like Ethereum. This opinion was expressed by Bernstein experts, reports The Block.
However, the interest of investors gradually begins to go beyond the exclusively functions of maintaining value. According to experts, many market participants begin to notice “early signs of financial innovations disclosed by blockchain.”
Since the launch in January 2024, the American spot-bitcoin-ETF has become one of the most successful investment products in history. In less than two years, AUM exceeded $ 130 billion.
Similar products on the basis of Ethereum, which appeared a little later, remained in the shade – under their control, only $ 9.8 billion. However, given the market capitalization of the broadcast (a little more than $ 300 billion against $ 2.1 trillion at Bitcoin), this gap is explained, analysts noted. The uniqueness of Ethereum lies in its role as a decentralized computer, experts explained. According to them, stablecoins and tokenization are native uscles for the network of the second in capitalization of cryptocurrency.
The crypto industry enters the phase, where the focus shifts from speculative trading to blockchain-innovations, confident in Bernstein. Activity goes “from the trading of meme tokens to open financial infrastructure for capital markets, payments and fintech of a new generation-in conjunction with stablecoins and tokenization.”
Turning moment
Payment giants like VISA, MasterCard and Stripe are already working on strategies in the stabelcoin segment, Bernstein notes. The introduction of blockchain-innovations with “real companies and institutions” increases the value of networks and native assets, such as ETH.
They also noted the growing implementation of solutions based on a distributed registry technology among leading crypto companies. In particular, the pilot for receiving stablecoins to pay from Coinbase, as well as the development of L2 BASE L2. In addition, analysts mentioned the RWA Initiative from Robinhood and Kraken plans to launch US tokenized shares for users outside the country.
In conclusion, analysts emphasized: as the market aware of the ongoing transformation, the effect of positive feedback is increasing – more and more investors begin to pay attention to alternatives to bitcoin. Recall that Ethereum developers have proposed the design of the EU, the protocol design.
Be in the know! Subscribe to Telegram.
Source: Cryptocurrency
I am an experienced journalist and writer with a career in the news industry. My focus is on covering Top News stories for World Stock Market, where I provide comprehensive analysis and commentary on markets around the world. I have expertise in writing both long-form articles and shorter pieces that deliver timely, relevant updates to readers.
