Categories: Analysis

JPMorgan believes that ETH 2.0 will “trigger” a wave of profits of up to $ 40 billion by 2025

According to a recent report by JPMorgan, the launch of the Ethereum 2.0 network will make staking a more attractive source of income for both institutional and retail investors in the future.

JPMorgan believes that ETH 2.0 will “trigger” a wave of profits of up to $ 40 billion by 2025

JPMorgan analysts estimate that staking out PoS blockchains currently generates around $ 9 billion in annual revenue.

When Ethereum completes its transition from Proof-of-Work (PoW) to Proof-of-Stake (PoS) consensus next year, the payout is expected to grow to $ 20 billion. At the same time, they also forecast that staking profits will double again to $ 40 billion by 2025.

That number is fully achievable if we look at current data on staking on platforms that are actually showing signs of positive change. Most notably, about $ 13 billion in ETH was transferred to the Ethereum 2.0 contract, as well as more than $ 30 billion in ADA, which was invested in investor enthusiasm for the platform.

JPMorgan takes it very seriously and estimates that Ethereum will be a pioneer flag in the macro staking trend. Because Ethereum 2.0 will mainly focus on energy saving and environmental protection, but the performance will not be reduced, even greatly improved.

Not only does staking reduce the opportunity cost of cryptocurrencies compared to other asset classes, but in many cases (especially in volatile markets) investors also receive a nominal return.

See more: Ethereum will reduce energy consumption by 99% thanks to the PoS mechanism of ETH 2.0

However, JPMorgan is preparing to give customers the chance to invest in a Bitcoin fund for the first time, which could hit the market as early as this summer. This new product, unlike the passive Bitcoin funds from Pantera Capital and Galaxy Digital, can be actively managed.

Synthetic

You may be interested in:

CoinX

Recent Posts

Pepeto’s $600K Presale Highlights Vision for Supporting Memecoins Ahead of 2025

London, united kingdom, 22nd November 2024, Chainwire

54 minutes ago

Robinhood Exec Dan Gallagher Declines SEC Leadership Role

Robinhood Exec Dan Gallagher declined consideration to lead the SEC, affirming his commitment to Robinhood…

1 hour ago

Best Cryptos to Buy in November 2024: What Sets Qubetics Apart from Fantom and Immutable X?

Discover why Qubetics, Fantom, and Immutable X are the best cryptos to buy in November…

2 hours ago

Franklin Templeton Digital Assets and Sui Now Join Hands to Strengthen DeFi Strategy

Sui Foundation partners with Franklin Templeton Digital Assets to enhance DeFi solutions on the blockchain.

2 hours ago

Get Insights on BlockDAG’s $136M Presale Success Revealed in Recent AMA—BTC Soars to $99K, Avalanche Trading Volume Surges

See how Bitcoin confronts $99K resistance, Avalanche enjoys a 23% rise, & BDAG achieves a…

2 hours ago

This website uses cookies.