Bernstein Analysts Say Ethereum Is the Face of Blockchain Innovation

Analysts at Bernstein believe the digital market is changing. While Bitcoin (BTC) is still leading the crypto market, something new is happening. Big financial companies now use public blockchains like Ethereum (ETH) to build new financial tools. Analysts think this is only the beginning of how traditional finance will grow using blockchain. Bitcoin Leads, But Ethereum is Catching Up Bitcoin, seen as a safe haven , continues to be the most well-known cryptocurrency. In early 2024, Bitcoin exchange-traded funds (ETFs) were launched in the U.S. and quickly became very popular. These funds now manage over $120 billion in assets. Ethereum ETFs were launched later but have seen less capital inflow, about $9 billion. This is expected because the coin is still smaller than Bitcoin in total value. Even so, interest in Ethereum is rising. Spot Ethereum ETFs reportedly saw their third consecutive week of inflows . This shows that more people are starting to see the value in Ethereum. Analysts Think ETH Is More Than Just a Coin Bernstein analysts think Ethereum is different from Bitcoin. Bitcoin is mainly seen as a way to store value, like gold. Ethereum is like a computer that anyone can use. People can build apps and financial tools on it. Two primary uses of ETH are stablecoins and tokenization. Stablecoins are digital dollars that are easy to send and use. Tokenization means turning real-world things, like property or stocks, into digital tokens—these run mainly on the Ethereum blockchain. Ethereum is Gaining Value Through Use Some investors used to say that crypto is not valuable, but blockchain is. Now, they are starting to see that both are connected. If stablecoins and tokens are helpful, then the network that powers them, like ETH, is also valuable. Ethereum earns fees when people use its apps. This means there is real demand for the network. Big names in finance and tech are now using ETH’s features. Companies like Visa, Mastercard, and Stripe are working on ways to use stablecoins for payments. These stablecoins often run on the ETH network. Crypto companies are also building more valuable products. Coinbase is testing stablecoin payments for businesses. Robinhood is working on turning real-world assets into tokens. Kraken plans to let international users trade tokenized U.S. stocks. These are not just crypto trading tools but financial products built on blockchain. This means ETH is now part of real financial innovation, not just online coin trading. As more companies and users build on Ethereum , it becomes more important and valuable. The post Bernstein Analysts Say Ethereum Is the Face of Blockchain Innovation appeared first on TheCoinrise.com .

Source: The Coin Rise