ETH Becoming Institutional MONEY🚀Ethereum Staking Skyrockets

Added: 2026-05-15

[00:00:00]is ETH money. Today we're going to break it down for you, get into the deep dive.

[00:00:04]It's going to be a good one. Let's just jump right into it. I do want to thank our sponsor and that's Tandem where you guys can get into self- custody and it is very simple to get set up. And by the way, if you're brand new to crypto, just take a little bit of time, go do some research on self- custody. You will find this wallet right here is one of the best out there to use. true ownership, easy to use, easy to set up, very secure, and you guys get a little bit of a discount, 50% off right now on the second set. You get an extra 10 plus the 10 that you're going to use with our code down below that will help you guys get started in building your own self-custody stack, which is very easy to do. So, get into it, guys. All right, let's jump over to a few points. I want to lead off with a clip and this first clip is Tom Lee and he's talking about software stocks and Ethereum and how they correlate. Take a look. Software stocks uh have bottomed and as you know software stocks have been highly correlated to Bitcoin. Uh we added software to our top sector picks.

[00:01:08]Ethereum's exiting along consolidation consolidating for 5 years. The second consolidation that happened in Ethereum ended with a 54x. So I think this third consolidation is going to be pulled up because of tokenization and Aentic AI.

[00:01:24]The value of the layer one the L1 was equal to the size of the tokenized market. Okay. So if this math is holds then maybe Ethereum is at 25x from here.

[00:01:38]>> All right. So looking at the one he's talking about tokenized agentic uh but really what we're talking about is the move to institutional and that that I think is the narrative that you have to look at. Now Kevin Olirri also was talking about enterprise in general and what this might look like also at the event. Let's take a look who is going to emerge as the chain that gets adopted into the S&P 500. We've been talking about blockchain adoption into enterprise for 15 years.

[00:02:12]15 years. I mean, you could argue that Ethereum is being used for transactions.

[00:02:16]Certainly for stable coin, it is. But it's not widely adopted within the S&P 500 for contract management, inventory management, logistics management, which is essentially software when you think about it. Now, software stocks got killed by AI this year. That's a big theme. But somebody out there, and I'm going to, you going to mark my words at this conference, someone's going to come out and say, "Hi, I just closed this S&P 500 company. I just closed this one in this sector." And slowly standardizing on a chain.

[00:02:48]>> Y >> that's valuable.

[00:02:52]>> Well, to do that, you're going to need one major thing, and that is going to be the developer stack because no software builds without a developer core. And if you look at the current ecosystem of the monthly active developers right here, the Ethereum chain is by far the winner.

[00:03:08]And this number right here is just Ethereum main chain. Go in and look at the L2s, guys. There's Polygon base. I mean, you you kind of take a look at all of these. And the point is is that the explosive nature of where Ethereum is going is maybe dead on to what Kevin Olri is. He just don't know. He doesn't know it yet that this is actually happening. If you look at Salana, uh they also just overtook uh Ethereum in terms of new developer signups. So that's good. This is biggest news in the shift for Salana that we've seen. And I think this is the narrative that we are going to see in all of blockchain, especially once clarity gets through and there are some rules of the road, the next layer is going to be institutional.

[00:03:50]Uh and also Salana surpassing Ethereum in hobbyist developers. Not that that's a major thing, but you could see some fairly big activities start to grow in this area as well because once something gets really kind of mainstreamed and Salana I think is now getting its first win at that uh it definitely opens up a a big future down the road. Now though we have seen other chains talk about enterprise Kevin Oly actually breaks down one that we've talked about a lot here on this show and he's not very favorable about it. Take a look.

[00:04:24]>> And you told me in a previous interview that you made a bet on HAR. You told me after that that you sold almost all your crypto positions. How are you?

[00:04:31]>> All not all.

[00:04:32]>> Almost all. I was at Hideera Con and they they really do have an enterprise narrative. There are companies like McLaren, Toyota, FedEx.

[00:04:42]>> But imagine this challenge.

[00:04:46]>> Nobody knows. Nobody cares. Put on CNBC.

[00:04:49]Put on Alazer. Put on BBC. Put on anything. Every tenth time the ticker shows up, it's ETH. They pay nothing.

[00:04:56]What's that worth to that, you know, to those foundations? Somewhere between 200 and 350 million if they were just going to buy that space. So, whoever you are, and you've got a great story, who cares?

[00:05:11]How are you going to get it out there?

[00:05:13]Nobody cares.

[00:05:15]Well, and distribution, listen, uh the distribution angle has been a challenge for all blockchains and it's going to continue, I think, to be a challenge for all blockchains. Most of the time, it's just in market cap and that's why Ethereum sits there at the top. Look at this right here. This is the enterprise Ethereum Alliance. This is the Treasury being deployed now in institutional staking. Essentially, this is the Microsoft component, which again goes back to the S&P 500 and the top, you know, MAG 7, you name it. all building within the ETH ecosystem. Further into that, look at the launch members right there. And you can kind of see this is all the big boys right there's Microsoft, Accenture, BBVA, you he would recognize these names for sure. Intel, JP Morgan, so on. What makes this also a good narrative is that there's so much demand. Look at the queue. Let me kind of zoom in on that right there. This is the wait time for staking by institutional staking demand. So almost 80 days running out here at its high.

[00:06:12]So, that's another narrative. I want to go to a clip real quick because this will get you into a little bit of understanding the shift into focusing on staking. And this comes from Tom Lee.

[00:06:23]Take a look.

[00:06:24]>> We're deciding perhaps we want to accumulate at a somewhat slower pace because we launched our commercial service at the end of March. Uh we are now the largest single staking operation in the world and uh we hope to increase that. It's really because it represents the future of money.

[00:06:42]So one of the other things that they were able to do is on board one of the most difficult that being micro strategy. Here's an example of the variable X stock which is tokenized securities on ETH sitting in there. If you look at that right there, Ethereum, there's Salana. That's the other slice of the pie. This is one of many out there. This is the number of holders that are continuing to fly. And I think this, yes, it's very early. People would say, Paul, it's not many. Yes, it's very early, but the point is is is these kinds of moves start to accelerate, especially as we start to see the staking narrative building within Ethereum. Here's Michael Sailor even talking about this. And I don't think I've seen him this excited about anything before. Take a look.

[00:07:24]>> Now, I get to the most interesting part of my presentation, digital money. And that's what Stretch represents. It's an external source of power. This is financial fuel for DeFi and financial fuel for digital assets like kerosene.

[00:07:39]There's an explosion of innovation in the DeFi economy right now. You can see Apex, Hermetica, Kraken, Ono, Pendle, they're moving faster than Tradfi innovators. The DeFi innovators seem to go about 10 times faster. We've gone from nothing to 270 million just in the DeFi space. This entire thing is exploding. What? Why am I excited?

[00:08:03]Because I think digital credits the bridge between Bitcoin and crypto. The way we see it is stretches a platform to create apps. You don't want to have that collateral tied up for a year in a prediction market or in a DeFi or a futures trade. But wouldn't you like a yield coin that looks like a stable coin that pays you? Stretch creates yield coins. you see an explosion in enthusiasm to tokenize this but there's a lot left to be built. I think uh the people in this room is how we take digital credit to the entire world into every part of the ecosystem and it should uh power the entire digital assets industry to the next 10x or 100x development. I've been really excited working with all of you so far and I look forward to what's to come. Thank you for your time today.

[00:08:53]So if you look at what he's talking about and first of all this is unbelievable that we're seeing Michael Sailor go into this detail about growing and he's really growing within the ETH ecosystem because this is what's powering all of what Stretch is doing.

[00:09:08]So is the real money ETH not stretch? So just think about that. I want to go over to RWAS now because this is another major growth area that we will see and again back on ETH and this is Kevin Oly talking about how RWA may grow. Take a look. The stuff that was fictionally created out of digital images did not work because there was no hard asset underneath it. Monkeys and all that stuff. And but I think it was fun but it wasn't investable. It wasn't institutionalized. It was just poo poo.

[00:09:41]But but it was fun. Poo poo. But it's gone.

[00:09:45]>> All right. So he might be right there, but he also could be wrong. And Kevin has been wrong before many times. If you look at what if and if he is wrong and you kind of compare this to board ape, this of course being measured in ETH.

[00:09:59]ETH is money. And you look at just where we are on year to date right here over the last few months. Uh board apes moving up obviously in ETH. ETH is money. Now you compare that to Bitcoin.

[00:10:10]And this is the year to date on Bitcoin.

[00:10:12]Yes, rising, but definitely outperforming overall. There's Pudgy Penguins also measured in ETH. So, these narratives aren't necessarily dead if ETH is also growing. So, it really is about attention. And I think these projects and many others have been able to do that. And even Olyri was talking about the attention life cycle that's out there and that you need for these chains to be able to elevate to this next level. I want to go to one other point here and this is a clip of of Ramen who's talking about how institutions will use ETH as money. Take a look.

[00:10:46]>> It literally has the potential to become a new type of money. The path to get there is ETH transitioning from being valued as a tech stock to a money and that's an asymmetric bet. In this world of tokenized assets, you need an asset that's moneyike that can be used globally that doesn't have that counterparty risk that doesn't have that offchain anchor. That's where that's where ETH is. ETH first found it product market fit in the whole DeFi ecosystem.

[00:11:11]Every crypto asset is it's not paired against USDC. It's paired against ETH.

[00:11:15]Art started to rise. Digital art is paid against ETH. It's the most common trading pair. It's the most common collateral. You've seen the initial versions of its utility. But that's just by the crypton players. Imagine when the Wall Street players start to realize that too and say, "Wait, this is actually an alternative trading pair against the world's assets." um if you want to go between USD and Japan uh Japanese yen and don't want counterparty risk you can have ETH sitting in the middle as a trading pair. So this is how you can actually start to see the institutional money thesis play out but it's early for it. All right. So he is right. Early adoption definitely at least by the crypton natives. But when you look at adoption on Wall Street then you have to compare the power of what ETH is. There's the current market cap and volume. Volume continues to fly even close to to that of uh Bitcoin. And I think that is the narrative that Wall Street is going to be looking at which gets back to the whole point. So let's take a look at the exchange reserve.

[00:12:10]This is all exchanges. And I'm on Bitcoin right now. You can kind of see right there the exchange reserve been going down. Price is also kind of uh moving up right there. You look at Ethereum, this is the first time we've seen it drastically moving down, which is really what's happening now. And price is now starting to move. So it's splitting. So this again goes back to the whole narrative where ETH really starts to control the issue of value.

[00:12:36]And if you look at the ability to do that, issuance is going to be a big part of this. I want to go to a clip here where Ethereum is exploring issuance to boost the moneyiness for ETH. Take a look.

[00:12:48]>> Currently, today we have an issuance of 0.8% post burn. Uh that's roughly the current issuance of Bitcoin. But do know that we could have the same security property by only issuing 0.5. So that's 0.3 less issuance that we could do. And there is also the marketability and moneyiness climbing really fast because we have large DAT and large ETF large institutions that are bringing in more if at stake because they are in competition with each others. Having too many if at stake is removing if from our current product market fit which is DeFi because you get 3% on staking and you get 1.4 4 1.5ish when you're on a there's there's a clear mismatch here and we have engineered this mismatch and we are continuing to push people to go at stake with this mismatch. So every time we change the uh the issuance uh in a more restrictive way the market paid attention. Yeah. Yeah. More scarcity. Uh that's interesting. I value the asset more.

[00:13:50]>> Right. So there you have it. I mean this gets into the whole narrative of why Tom Lee is really shifting right here. and he says that the staking issuance for ETH should reflect the actual cost of staking securities model. So we are not opposed to the idea that staking issuance rate could actually change. So this is something that I think as we start to see the adoption of institutional the movement that we're seeing within Ethereum right now obviously clarity will play into this all of this going forward and the narrative that we're starting to see in in DeFi even if you look at the products like stretch and others that will start to utilize this it gets into exactly the narrative we're talking about and that is ETH's money If you like this video, hit like and subscribe. Drop a comment down below and also join our free private member group.

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