Ethereum (ETH): can get cash flow from giant institutions after consolidation
A widely-followed crypto analyst says that institutional interest in Ethereum (ETH) could grow after the second-largest digital asset by market capitalization transitions to the… proof-of-stake consensus.
While explaining why he is holding Ethereum, the anonymous host of InvestAnswers told his 444,000 YouTube subscribers that the second largest crypto asset by market capitalization is expected to yield between 10% and 15% for makers annually. According to the analyst, the yield on ETH could be an attractive alternative to bonds for investors with deep pockets.
“This is an attractive bond alternative for institutional investors. For the first time, we could get a lot of money from the institution, people who historically invest in things like gold and bonds could come in and this would be a huge influx of money. "
The InvestAnswers host also stated that Ethereum's dominance in the decentralized finance (DeFi) sector, the low regulatory risk it possesses, and the fact that it is an eco-friendly proof-of-stake consensus mechanism. The market are other reasons why he holds the second largest crypto asset in the cap market.
“Ethereum also powers DeFi and also doesn't have the regulatory risk we heard from Gary Gensler [U.S. Chairman of the Securities and Exchange Commission] for the eleventh time last week.
There is also no ESG [Environmental, Social and Governance] FUD [Fear, Uncertainty and Doubt] as moving to proof of stake will not burn energy.
And finally, the reduction in ETH issuance and increased burning will systematically supply Ethereum. "
Sep 13, 2022
