According to the Q4 2024 Insights Report released yesterday by asset management firm Grayscale, the firm assessed Ethereum’s year-to-date performance and updated its research department’s top 20 watch list.
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ToggleEthereum performed well
Grayscale pointed out in the report that although Ethereum has lagged behind Bitcoin this year, with a 13% increase, it still outperformed most cryptocurrency assets.
“Our Cryptocurrency Sector Market Index (CSMI) – which measures returns across the asset class – is down about 1% this year. In fact, excluding Ethereum, the Smart Contract Platforms Sector Index is down about At 11%, this means that Ethereum also performs better than other assets in its market segment.”
Despite this, Ethereum is still facing increasing competition. Multiple smart contract new public chains including Solana, Toncoin, Tron, Near, etc. have made progress, and new assets like Sui have also joined the “crypto Currency Sector". These networks are all competing for transaction fee revenue, and the excellent user experience provided by some of these networks may cause Ethereum Layer 1's fee market share to decline. However, Grayscale emphasized that Ethereum still has its advantages compared to its competitors:
“It remains the leader in the space with the most applications, the most developers, the highest 30-day fee revenue, and the most value locked in smart contracts.”
Grayscale TOP20 list
On the other hand, Grayscale also updated its research department’s top 20 watch list in the report.
Render, Mantle, ThorChain, Pendle, Illuvium and Raydium have been removed this season. However, Grayscale emphasized that the removed projects do not mean that they are not optimistic about future value. They are still an important part of the cryptocurrency ecosystem, but the company believes that the revised top 20 list may provide better services for the next quarter. risk-adjusted returns.
Newly added currencies include SUI, TAO, OP, HNT, CELO and UMA. The company explained that both Sui and Optimism can be regarded as models of high-performance infrastructure, Celo and UMA benefit from the unique application trend of stable coins and prediction markets, and Helium is a leader in the field of DePIN (decentralized physical infrastructure network) , while Bittensor is a prominent player in the field of combining cryptocurrency and AI.
