#ETHCorporateReserves
What drives companies to clearly choose $ETH ?
• Staking returns: Thanks to the transition from proof of work to proof of stake, ETH now generates annual returns of about 3%.
• Integration with DeFi and smart tokens: Using ETH in decentralized applications and smart contracts makes it an operationally valuable product, not just a store of value.
• Avoiding regulatory constraints: In some areas, direct investment in cryptocurrencies is prohibited, so listed companies provide indirect exposure through stocks.
Future expectations
• Standard Chartered Bank expects companies to hold up to 10% of the total supply of ETH over the coming years, representing a tenfold increase from the current level.
• This trend is reshaping market supply dynamics, which could support a price level towards $4,000 or more by the end of 2025.
• Some analysts point out potential risks such as the liquidity associated with the Unstaking process and the complexities of managing smart contracts in DeFi.