Sovereign wealth funds are extending their investment tentacles to Ethereum (ETH) infrastructure, indicating that institutional investment strategies may be gradually expanding from concentrated Bitcoin (BTC) to other cryptocurrencies.
Ethereum co-founder Joe Lubin recently confirmed that ConsenSys is in talks with a sovereign fund and bank of a "certain large country".
Lubin Confirms a Large Country's Preference for Ethereum
On June 4, 2025 (Tuesday), Joe Lubin revealed on Rug Radio's "Fomo Hour" program that ConsenSys is having in-depth discussions with a sovereign wealth fund and bank of a "very large" country. Lubin stated:
"We are discussing with a sovereign wealth fund and bank of a very large country who are showing strong interest in building infrastructure on Ethereum Layer-1 and establishing their own facilities on Layer-2."
Currently, the world's largest sovereign wealth funds include:
Norway: Government Pension Fund Global (the largest globally)
Abu Dhabi (UAE): Abu Dhabi Investment Authority (ADIA)
Kuwait: Kuwait Investment Authority (KIA)
Saudi Arabia: Public Investment Fund (PIF)
Qatar: Qatar Investment Authority (QIA)
China:
China Investment Corporation (CIC)
SAFE Investment Company
Singapore:
GIC Private Limited
Temasek Holdings
Hong Kong: Exchange Fund (managed by Hong Kong Monetary Authority)
South Korea: Korea Investment Corporation (KIC)
Chile: Economic and Social Stabilization Fund
Argentina: Fondo de Garantía de Sustentabilidad (Sustainability Guarantee Fund)
United States (some states):
Alaska: Alaska Permanent Fund
Texas (educational fund nature): Texas Permanent School Fund
Guess which country it is?
Before deadline, Ethereum was trading at around $2,600, with an approximately 15% increase year-to-date, but still appearing relatively moderate compared to Bitcoin and Solana's performance. However, its advantage of having the most robust ecosystem could indeed be an attractive point for institutional and national sovereign fund investors.
Ethereum's Potential Not Yet Unleashed
Joe Lubin predicts a new decentralized "super cycle" driven by ETH is about to arrive.
He believes the existing financial system is showing "structural fatigue" and gradually moving towards disintegration, with decentralized protocols becoming key solutions for building a brand new global financial system.
Ethereum is the middle child
– Joe Lubin
Undoubtedly, Ethereum is also his child. Lubin candidly acknowledged that Ethereum's price performance has been slightly inferior to Bitcoin and Solana in the past, but he emphasized that the Ethereum ecosystem's internal development is stable and is preparing to build "epic infrastructure".
He further described Ether as the "most valuable trust commodity on Earth" and the "gold standard of trust", hinting that its value may ultimately surpass Bitcoin.
The market's enthusiasm for Ethereum-based strategies can be glimpsed from the SharpLink Gaming (NASDAQ: SBET) case. Lubin and ConsenSys recently co-led a $425 million financing for the company to launch its Ethereum reserves.
Unlike Strategy's primarily Bitcoin-holding strategy, SharpLink plans to actively utilize Ethereum's staking, re-staking, and DeFi opportunities to generate returns. The company's stock has been highly volatile, surging 922% in the past month.
