): Reduced layer-2 transaction fees by 99%, shifting activity to L2 networks.
PECTRA (2025): Aims to improve scalability and performance by upgrading both execution and consensus layers.
Sharding: Part of Ethereum’s roadmap to increase transaction throughput long-term.
Institutional Adoption
Spot ETH ETFs: Approved in 2024, these boosted institutional inflows and liquidity.
Tokenized Assets: Projects like tokenized US Treasuries and synthetic stablecoins highlight Ethereum’s role in merging traditional finance with DeFi.
Enterprise Use Cases: Partnerships with major firms in AI, gaming, and supply chains underscore real-world utility.
Ecosystem Growth
DeFi and NFTs: Ethereum hosts billions in tokenized real-world assets and dominates NFT markets.
Layer-2 Networks: Platforms like Arbitrum and Optimism drive adoption by offering low fees and high speed.
Gaming and AI: Emerging projects in decentralized GPU infrastructure and AI-driven gaming showcase Ethereum’s versatility.
Risks and Challenges
Regulation: Potential crackdowns on crypto assets could hinder growth.
Competition: Rivals like Solana and Cardano challenge Ethereum’s market share with lower fees or faster transactions.
Volatility: ETH remains tied to Bitcoin’s price movements and macroeconomic trends, with seasonal corrections likely
