$ETH How does Ethereum have value?

There are several ways to think about the answer to this question. At one level, the value of Ethereum is determined by the markets like any other asset. People buy it with Bitcoin, dollars, euros, yen, and other currencies 24 hours a day. Depending on demand, the price can fluctuate from day to day. (The value of Ethereum tends to be volatile compared to currencies like the US dollar or stocks like those in the Fortune 500 because it is still an emerging technology.)

But why the market values it the way it does is a much more complicated question. For many investors, the value of Ethereum is based on its flexibility as a platform to issue stablecoins and run DeFi applications, resulting in a growing user base and increasing transaction fees.