Ethereum (ETH) has been the revolutionary leader proving blockchain possibilities whether in DeFi, decentralized exchange, stable coin, layer-2 blockchain scaling solutions, non-fungible tokens and several others.
Ethereum Network Effect is growing and the power of Ethereum Killers Growing too. Reportedly, the numbers of new Ethereum addresses with more than 0.1 ETH touched an all-time high in June. And the total of non-Ethereum addresses have as well sky rocketed by more than 350%.
Lot of cryptocurrencies are here to stay. We cannot be sure if there will be one best crypto and we cannot declare that ETH is going to be the best of all.
When discussing opportunity in programmable money and DeFi, Forbes had stated on how most of the cryptocurrencies might rely on the same core kernel of blockchain technology and about how each of them come up with different use cases. Therefore, it is possible to have multiple winners. It is also interesting to note that several Ethereum tokens are getting to be more valuable than ETH itself.
The BUIDL philosophy has made it possible for the market cap of ERC20 tokens which are built on the Ethereum to surpass the network’s native ETH. Reportedly, the collective value of Ethereum based tokens which are built for DeFi products are now worth more than $33 billion. It is also sign that lot more things are likely to come for Ethereum. The ecosystem is getting enriched by ERC20 tokens.
Sydney Ifergan, the crypto expert tweeted: “The growth of ERC20 tokens on the Ethereum network is organic. The combined efforts of all of these tokens would surpass ETH, but on a one-to-one comparison, Ethereum native token will dominate.”
It is interesting to see that several DeFi tokens are growing a lot faster than decentralized finance. Investors are greatly attracted towards DeFi, exchange tokens and high-risk dapps.
It is a good sign that the value of the ERC20 tokens surpass the value of ETH, this is a sign of market maturity, adoption and usability of the Network.
It is very evident that when discussing the technology of Ethereum it is not possible to discuss merely in terms of market cap. The mass adoption of Dapps is becoming an everyday reality. The combined effect of the adoption of different ERC20 tokens is going to be huge. ETH will be home with a diverse community of use cases and diverse groups – Definitely Super Rich Use Case.
A finance graduate, Maheen Hernandez has been drawn to cryptocurrencies ever since Bitcoin first emerged in 2009. Nearly a decade later, Maheen is actively working to spread awareness about cryptocurrencies as well as their impact on the traditional currencies. Appreciate the work? Send a tip to: 0x75395Ea9a42d2742E8d0C798068DeF3590C5Faa5
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