Ether (ETH), the second-largest cryptocurrency by market capitalization, can surge up to $10,000, which is roughly 3x return from its current level. At least Arthur Hayes, the former head of the BitMEX crypto exchange believes so.
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In a recent blog post Hayes wrote that the transition of the Ethereum blockchain toward the Proof-of-Stake algorithm might eventually transform ETH into a bond rather than a currency:
"If we can convince the fiduciaries that the classification of ETH is a bond rather than a currency, then a whole new set of fiduciary clowns can be mentally primed to allocate into the ecosystem."
Hayes says this classification of ETH, paired with its ESG-compliant label makes the cryptocurrency "supremely undervalued" on a relative basis versus bitcoin (EXANTE: Bitcoin), fiat money, or any other layer-one competitors. iHodl earlier reported that the Ethereum community embraced for the final update before the merge with Proof-of-Stake (PoS) will take place.
- Ethereum 2.0 is a general name for a series of upgrades for the Ethereum network. The reason for these upgrades is to enhance the network’s scalability, security and sustainability.
- The Ethereum 2.0 upgrade features a transition from Ethereum’s original Proof-of-Work (PoW) consensus protocol to Proof-of-Stake (PoS) consensus protocol.
- Although no dates were revealed so far, the ETH 2.0 merge is expected to occur somewhere later this in 2022.
- Earlier in January, the Ethereum ecosystem rebranded its terminology from "ETH 2.0" terminology into "consensus layer." The developers decided to rebrand the ecosystem as its initial terminology created "a broken mental model for new users."
In the meantime, Santiment's analyst team registered another surge in activity in whale-owned addresses, which are those holding between 1 million and 10 million ETH. According to them, these addresses have accumulated approximately 21.6% of the crypto’s total supply so far.
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