Why Ethereum (ETH) Has Awakened

• Corporate treasury demand is accelerating, with public companies now holding over 2 million Ethereum, a position that continues to grow as firms seek both long-term appreciation and staking yield.
• Spot Ethereum ETFs have recently seen a surge in buying activity, creating sustained demand from both retail and institutional investors.
• Clearer stablecoin regulation should disproportionately benefit Ethereum, which hosts the majority of stablecoins and the largest decentralised finance (DeFi) ecosystem.

ETH vs BTC

For most of this cycle, Bitcoin has been the stronger performer. Big money flowed into BTC first, helped by the ‘digital gold’ story, the earlier launch of spot Bitcoin ETFs, and high-profile Bitcoin treasury companies like Strategy, making large purchases. As a result, ETH spent months sitting in Bitcoin’s shadow, with many people thinking it was falling behind.

In recent months, that has started to change. Ethereum has been climbing faster than Bitcoin, helped by new ETF buying, large company purchases, and a growing sense that regulation is finally catching up with crypto. Basically, the same catalysts that ignited Bitcoin’s price are now happening to Ethereum. This shift has sparked fresh interest from investors who had previously been focusing only on Bitcoin.

The ETH Catalysts

ETH Treasury Companies

As of August 13, corporate treasuries hold well over 2 million Ethereum, worth several billion dollars. A major driver of this interest is Ethereum’s staking model, which allows holders to earn yield directly from the network. This is something Bitcoin does not offer, and it adds an income component to a long-term holding strategy.

Top 10 public companies accumulating ETH as a strategic asset

One of the most notable players is BitMine Immersion, which has rapidly expanded its holdings to 1.2 million ETH. This means the company now owns over 1% of all Ethereum in existence, with a stated aim of eventually owning 5%. The approach mirrors the Bitcoin treasury strategy pioneered by companies like Michael Saylor’s Strategy, but Ethereum’s broader utility in decentralised applications and decentralised finance (DeFi) makes it a very different kind of asset for companies to own.

Ethereum ETFs

While spot Ethereum ETFs have been available since May 2024, they have only recently seen a surge in buying activity. With positive news comes positive price action, and the flywheel effect of narrative meeting price movement is now well underway. It looks like nobody wants to be the last to own Ethereum, and that fear of missing out is helping drive momentum. This influx of demand is coming from both retail and institutional investors, reinforcing the broader market shift in Ethereum’s favour.

Spot Ethereum ETF inflows have tripled since mid-July

Stablecoin Regulation

The ‘GENIUS Act’ legislation brings much-needed regulatory frameworks for stablecoins, one of the most popular use cases on Ethereum. Given that Ethereum currently holds the majority of the stablecoin market, it is arguably the blockchain positioned to benefit the most from the GENIUS Act. With regulation in place, the sector can expand with more confidence, encouraging greater adoption and deeper integration into the wider financial system.

ETH as a Use Case for Business: The Base Example

Coinbase’s Base layer 2 network has become a model for business-friendly rollups. It leads Ethereum L2s in daily active users, transaction speed, and DeFi adoption. As per Token Terminal, Base’s weekly revenue now averages above $1 million, putting it well ahead of rival Layer 2 networks. Base shows how enterprises can operate their own private, scalable rollups and later settle value on Ethereum. This approach lets them maintain control over their infrastructure while still benefiting from the security and decentralisation of the mainnet.

Revenue comparison of Arbitrum and Base

Conclusion

Ethereum’s resurgence is being fuelled by several converging forces: corporate treasuries building sizeable positions for both yield and growth, surging ETF demand, the prospect of stablecoin regulation that favours Ethereum’s dominant DeFi position, and real-world examples like Base proving how profitable and scalable Ethereum-based solutions can be.

Unlike newer platforms, Ethereum combines a long track record of security and decentralisation with the industry’s largest developer community. This history appears to be giving businesses, organisations, and developers confidence that Ethereum will remain a reliable foundation for years to come.