Morning Minute is a daily newsletter written by Tyler Warner. The analysis and opinions expressed are his own and do not necessarily reflect those of Decrypt. Subscribe to the Morning Minute on Substack.
“ETH corporate treasuries can capture both staking rewards and decentralized finance (DeFi) leverage opportunities, which U.S. Ethereum ETFs currently cannot. As such, we think ETH treasury companies have even more growth potential than BTC ones.”
“Although these inflows have been significant, the point is that they are just getting started.”
“ETH and the ETH treasury companies are cheap at today’s levels.”
– Geoff Kendrick, Head of Digital Assets Research, Standard Chartered
The combination of ETF inflows + Treasury Companies buying billions + a stablecoin boom and regulatory clarity makes for the cleanest setup ETH has had in its existence.
And the yield aspect of ETH hasn’t even fully been unlocked yet (ETH staking ETFs expected in Q4).
There is a real case to be made that it is a stronger crypto reserve asset than BTC due to its yield-bearing / ability to be used in DeFi.
We’re seeing that rotation actively play out now, with the ETH BTC ratio approaching 1-year highs at 0.041 (and ancient BTC whales converting bags of 24,000 BTC for ETH).
