Summary I am extremely bullish on Ethereum due to its foundational role in digital finance and programmability, offering more utility than Bitcoin. The GENIUS Act provides regulatory clarity for stablecoins, paving the way for institutional adoption and increased demand for Ethereum's network. Ethereum's expanding use cases in stablecoins, tokenization, and DeFi position it as digital oil powering a new financial system. I am investing directly in ETH and indirectly via Ethereum treasuries, believing we are at the start of a digital revolution centered on Ethereum. After doing an extensive amount of research on Ethereum USD ( ETH-USD ) I have become super bullish on it’s future potential. I am building a position directly in Ethereum as well as indirectly through newly formed Ethereum treasuries such as Bitmine Immersion Technologies ( BMNR ), SharpLink Gaming, Inc ( SBET ), and Dynamix Corporation ( ETHM ). There is no question that the future of finance is digital, and I am seeing a fundamental transformation with digital assets at its core. In my opinion the real difference between Bitcoin ( BTC-USD ) and Ethereum is that BTC is a store of value with limited utility whereas Ethereum is the foundational infrastructure for much of the future digital assets that will become normalized. Due to its advanced programmability Ethereum has the potential to become the backbone for an entire financial system. I believe that we’re still in the early stages of adoption and while Ethereum is hovering around $4,400 there could still be a generational investment opportunity for investors who believe in the multifaceted value proposition that may unfold. When I look at the amount of capital being allocated to Ethereum and what the adoption rate could be, I believe that there is tremendous upside potential, and I am planning on allocating more capital as the rest of the year unfolds. Seeking Alpha Risks to investing in Ethereum While I have become very bullish on Ethereum there are several risk factors for investors to consider. Much of the future upside that I see is based on unproven adoptions in stablecoins and tokenization. If regulations change it could crush most of the upside potential that I believe will occur. Ethereum is a very speculate investment and the underlying technology and use case could become irrelevant and Ethereum may not exist in the future. There is also competition from other projects and blockchains which could monopolize a lot of the future adoption I see for Ethereum. The investment case is contingent that there will be mass scale adoption at an institutional level and it is still unproven if this plays out. I believe that everyone should do their own due diligence before allocating capital toward Ethereum. I based a lot of my research on going through everything published on the Ethereum website , listening to developers discuss future use cases, reading through S.394 ((The GENIUS Act)) and looking at how capital is being allocated toward Ethereum. Just because I now believe Ethereum has major upside potential doesn’t mean that an investment in Ethereum will work out so please do your own research. What Ethereum and Ether are for those that are unfamiliar with the blockchain Ethereum is a decentralized blockchain network and a programable software development platform that was launched in July 2015 by Vitalik Buterin. The core innovation that separates Ethereum and Bitcoin is its smart contract system which are open-source programs that execute automatically and run continuously across the globe. Through the Ethereum blockchain, anyone has the ability to create digital assets and decentralized applications ((dapps)) without relying on traditional banks, corporations, or other intermediaries. Through the underlying technology an ecosystem which is known as Web3 has emerged which is composed of thousands of independent computers or nodes that are dispersed globally and work collectively to provide financial services and digital applications. Unlike traditional systems that can block access or suffer downtime, Ethereum's network is designed to create maximum uptime while rejecting any attempts to alter contracts. The Ethereum network was built with scalability and efficiency as a core component with Layer 2 networks operating on top of Ethereum which act as express lanes to process transactions faster and at lower costs which can sometimes settle for less than one cent. In 2022 the Ethereum network transitioned from Proof-of-Work to a Proof-of-Stake and operates without a single controlling entity as it’s maintained by a community of developers, node operators, stakers, and community members. Ether, which is also known as ETH is the native cryptocurrency of the Ethereum network which serves as a global digital currency. Users utilize ETH to pay transaction fees that are referred to as gas fees which incentivize validators to process and verify network operations. ETH has a role in securing the Ethereum network as validators stake their ETH as a security deposit to earn the right to process transactions and receive ETH rewards. Where I believe things get really interesting is that one of the big critiques of Ethereum over Bitcoin is there isn’t a limited number of tokens that can be created. After researching this I found that ETH actually has the potential for increased scarcity over time as a small portion of ETH is permanently burned through every completed transaction and removes it from the overall supply. If there is more network activity at a certain point more ETH may be burned than created which makes it a deflationary asset. The supply dynamics of ETH encoded in its protocol and there is an issuance cap which is designed for long-term sustainability and to avoid potential security risks. The maximum annual issuance of ETH is capped at 1.51% but on a net basis it’s been averaging around 0.09%. I find this very interesting because we are in the infancy of stablecoins and tokenization so over the next several years there is a possibility that less ETH will be created than what is being burned. What I believe the bull case for Ethereum is and how The Genius Act paved the way for a digitalized future I believe that whereas investors look at Bitcoin as digital gold, I am looking at Ethereum as digital oil as the token will be utilized to power a new financial system. Ethereum is positioned to become the foundational software layer for a global platform and if this takes off ETH will be critical to power stablecoins and tokenized assets. ETH serves as collateral that secures billions in stablecoins, real-world assets, and financial applications in the smart contract economy which is free from external counterparty risks. ETH is also rapidly gaining traction as a reserve asset for Ethereum's digital economy as applications, DeFi protocols, and institutional treasury managers are stockpiling ETH as a strategic reserve asset. Ethereum currently hosts over $767 billion in assets which represents the largest total value store across any blockchain. As more items move to the blockchain it could increase the demand for ETH as both transactional fuel and the core monetary reserve for the underlying assets which would drive demand higher. I am looking at ETH as a commodity with utility that will be viewed as a productive reserve asset as an entire digital economy is being built around it. The use cases for Ethereum continue to expand as it provides the ability for peer-to-peer payments and asset transfers which allows users to send and receive digital cash, stablecoins, and other digital assets globally within seconds. One of the most intriguing aspects and why I think this has legs is because its secure and outside of the traditional banking segment which leads to inexpensive frictionless transactions. Even companies such as Shopify ( SHOP ) have integrated on a Layer 2 protocol called Base which allows consumers to spend stablecoins with millions of merchants worldwide. Ethereum has become the largest platform for stablecoins as it hosts roughly 60% of all stablecoins. PayPal ( PYPL ) is launching their own stablecoin on Ethereum which I believe demonstrates the utility of the Ethereum network as a programmable financial rail. When I look at PYPL’s Q2 slide deck it’s total payment volume in Q2 was $443.55 billion. PYPL is one of the largest global digital payment systems and if their stablecoin could substantially increase the amount of transaction volume across the Ethereum network driving the asset class higher. PayPal The other usecase that is extremely interesting to me is tokenization as over 80% of tokenized assets currently exist within the Ethereum ecosystem. This includes over $10.2 billion of non-stablecoin tokenized assets such as treasuries, credit markets, and yield-bearing funds. Leading global institutions like BlackRock ( BLK ), and JPMorgan Chase ( JPM ), are actively issuing these assets on Ethereum. This can also extend to nonfungible tokens (NFT) which verify digital ownership of assets such as collectables. Kevin O’Leary just purchased a $13 million Kobe Bryant and Michael Jordan dual auto logoman basketball card and at the end of his interview on CNBC he discussed how he will be building an index of collectable assets. I believe that this is a prime example of how institutions will be able to acquire high end alternative assets that are rare and create investable assets out of them through tokenization and issuing shares through the Ethereum protocol. If this occurs, then we will see a large use case working along side stablecoins bringing a tremendous amount of value to the Ethereum ecosystem. Ethereum On July 18 th 2025 S.394 which is known as The GENIUS Act of 2025 was signed into law by President Trump. I believe that this is bullish for cryptocurrencies but more importantly Ethereum because it establishes a clear federal regulatory framework for stablecoins. The Act’s focus on stablecoins is impactful for Ethereum because more than 80% of tokenized assets and 60% of all stablecoins are already in its ecosystem. A federal regulatory system for stablecoins removes regulatory uncertainty that has historically reduced institutional participation in the digital asset space. The Act prioritizes consumer protection by mandating 100% reserve backing for stablecoins with liquid assets like U.S. dollars or short-term treasuries. I believe that this legislation enhances the credibility and reliability of stablecoins which makes them more attractive for both institutional and retail use. As legislation as just been signed I believe that this is the infancy of the stablecoins and tokenization era and we will see a tremendous amount of demand and activity on Ethereum’s network as their foundational layer. Conclusion and why I am buying ETH directly and making indirect investments in ETH treasuries We have never had official legislation for cryptocurrencies until now. The GENIUS Act paves the way for accelerated institutional adoption, deployment of tokenized assets and financial infrastructure on the Ethereum Network. Ethereum is already a leading blockchain for institutional activity and as this trend continues it will solidify its role as a global ledger of record. This would cause the demand for ETH to surge as it would be needed for stablecoin and tokenization transactions. As more companies such as PYPL and SHOP embrace stablecoins it should cause the transactional volume across the Ethereum network and the demand for ETH to power the transactions to surge. I am buying ETH-USD directly in addition to Ethereum treasuries including BMNR, SBET, and ETHM as indirect plays because I want exposure to both vehicles. The treasuries can stake, restake, and stake through DeFi which may drive a more profitable multiple than owning ETH-USD directly. Ultimately, I think we are at the beginning of a digital revolution that circles around Ethereum, and I am very bullish on this investment opportunity.
