Ethereum co-founder Joseph Lubin believes traditional finance is undergoing a deep transformation—driven by a growing trend among corporations to hold digital assets like Bitcoin and Ethereum in their treasuries. According to Lubin, this shift could accelerate the integration of decentralized finance (DeFi) into mainstream financial systems, changing how corporations interact with capital markets.

With Bitcoin treasuries led by companies such as MicroStrategy and Metaplanet, and Ethereum holdings gaining attention after SharpLink Gaming’s massive ETH acquisition, Lubin calls this moment the “first large-scale onboarding of TradFi onto DeFi.”

The Treasury Shift: From Dollars to Digital

Corporate treasuries have traditionally revolved around fiat holdings, short-term bonds, or stable financial instruments. But the crypto tide appears to be rising fast. MicroStrategy’s continued BTC accumulation and Metaplanet’s parallel approach in Japan have set a template that others are now beginning to follow.

Recently, SharpLink Gaming made headlines by becoming the largest publicly traded company with an Ethereum treasury, purchasing over 176,000 ETH at an average price of $2,626. This bold move underscores growing institutional conviction in Ethereum’s long-term value.

Ethereum’s Lubin views these strategic treasury moves as a catalyst that could drive Wall Street further into the decentralized economy.

“This isn’t just another balance sheet strategy. It’s the beginning of a financial realignment,” Lubin stated.

Wall Street Eyes DeFi Yields

Lubin emphasized that institutional interest isn’t only about asset appreciation. He noted that Wall Street firms will soon prioritize maximizing returns via DeFi protocols. Earnings calls may soon begin including discussions about yield farming, staking, and other forms of on-chain financial operations.

This new interest in decentralized tools goes beyond the search for returns. Lubin said the nature of decentralized finance—transparent, open-source, and programmable—offers powerful advantages for risk-adjusted performance.

Recent corporate interest in Bitcoin, including GameStop and Trump Media’s push into crypto strategies, shows that digital assets are entering broader corporate discussions, not just among tech firms.

The potential for DeFi applications to reach beyond institutions to consumer and enterprise-facing tools is also growing. According to Lubin, the eventual result will be end-user platforms that are intuitive and practical, moving DeFi out of the niche tech world and into everyday business operations.

Regulatory Confidence Fuels Momentum

A major barrier in the past was regulatory uncertainty. But Lubin believes that shift is now underway. “Enterprises can now explore DeFi without the looming threat of enforcement actions,” he wrote on X.

This new confidence is encouraging top talent from Web2 to enter the Web3 space. Developers and product teams are joining DeFi and blockchain projects not just for innovation, but because of the permissionless, community-driven nature of the space.

“The paradigm shift to an increasingly decentralized system of the world is accelerating,” Lubin explained.

His view aligns with broader market developments. The U.S. Securities and Exchange Commission has shown a more lenient stance on Ethereum-related products in recent weeks, and the approval of spot Ethereum ETFs has added legitimacy to ETH as an institutional asset.

Ethereum ETFs and Institutional Inflows

Ethereum ETFs have recently seen a surge in inflows, especially as heavyweight asset managers like BlackRock enter the market. This signals growing confidence in Ethereum’s role not only as a programmable platform but also as a store of value.

As more financial institutions include digital assets in their portfolios, the line between traditional and decentralized finance continues to blur. ETH’s position in this transition is especially notable due to its smart contract capabilities and ecosystem maturity.

These developments point to a broader reallocation of capital—from legacy systems into decentralized platforms. While Bitcoin remains the dominant store-of-value choice, Ethereum is carving its niche as the foundation for financial innovation.

What This Means for Markets

As Bitcoin and Ethereum consolidate at strong support levels—$105,000 and $2,500 respectively—investors are watching closely. Despite global macroeconomic uncertainty, crypto adoption from institutions and public firms signals underlying strength.

DeFi, once considered a fringe segment of the crypto space, is now becoming a strategic focus for serious investors. Corporate treasuries filled with digital assets are no longer hypothetical—they’re here, and they’re growing.

While the long-term effects of this shift are still unfolding, it’s clear that financial strategies at the corporate level are being rewritten. And at the center of it all are Bitcoin and Ethereum—no longer speculative plays, but foundational pillars of a new financial system.

Lubin’s outlook serves as a reminder that the DeFi transition isn’t about dramatic overnight changes. It’s about persistent structural moves that slowly, but surely, redefine how the world manages money.