Ethereum (ETH): Platform for the decentralized economy
1. Ethereum 2.0 and efficiency:
- The transition to Proof of Stake (PoS) in 2022 reduced its energy consumption by ~99%, improving its image among ESG investors. This enhances its use in institutional and governmental sectors.
2. DeFi and NFTs:
- Ethereum remains the core of decentralized finance (DeFi), with a TVL (total value locked) exceeding $40 billion. NFTs, although less booming than in 2021, maintain relevance in art, gaming, and intellectual property.
3. Scalability and layer 2:
- Solutions like Arbitrum and Optimism reduce high fees (*gas fees*), facilitating mass adoption. This is crucial to compete with faster networks (e.g., Solana).