Bernstein: Ethereum's surge is driven by institutional interest and Layer 2 demand

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MarsBit
05-15
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Mars Finance News: Bernstein analysts reported on Wednesday that Ethereum saw an astonishing rise in the past week (with a 42% increase in 7 days), primarily because the actual value of digital assets beyond value storage is being increasingly recognized, with growing institutional and retail interest in blockchain and stablecoin payments. On the technical front, the Pectra upgrade completed on May 8th improved network efficiency. In terms of applications, stablecoins on the Ethereum chain account for 51% of issuance, Stripe recently launched enterprise stablecoin account services, and Meta has restarted its stablecoin project. The report mentioned that Robinhood plans to launch tokenized stock services on Ethereum Layer 2 and has completed a $179 million acquisition of Layer 2 exchange WonderFi. The advancement of U.S. stablecoin regulatory legislation also provides a clearer policy environment for the market. Analysts noted that the continued use of ETH to pay Gas fees on Layer 2 networks will form long-term demand support. (Decrypt)

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