“Ethereum is the Microsoft of blockchains,” says Hougan.
The businessman anticipates a change in trend for ether ETFs in 2025.
In a world where cryptocurrency networks like Solana, Sui or Aptos seem to steal the spotlight, Matt Hougan, chief investment officer at Bitwise, says there are those who insist that Ethereum, one of the oldest networks, is an old technology.
Hougan disagrees with that statement. For him, this view is completely wrong. and dismisses the true magnitude of the network founded by Vitalik Buterin.
The manager highlights that Ethereum is comparable to tech giants like Microsoft. “Microsoft is like a boring old tech company from the 70s, but it’s still the third largest company in the world,” express.
Hougan believes that Ethereum, like Microsoft, has demonstrated an ability to adapt and endure, securing its place among the most important networks.
Its strength against newer competitors lies in several key factors that cannot be overlooked.
Ethereum and stablecoins
One of the most important points that reinforce Ethereum’s dominant position is its role in the stablecoin market, assets that digitally represent currencies such as the dollar, the euro, and even gold.
In this ecosystem, Ethereum hosts $172 billion in stablecoins. Among them, the most relevant is USDT (Tether), which has issued 119 billion dollars to date, of which 47 billion are in the Ethereum network, according to DeFiLlama data. It is second only to USDT on Tron.
This relevance in the stablecoin market gives Ethereum a significant advantage over other networks such as Solana, the BSC, Avalanche or TON.
Nevertheless, Solana does not rest in exploring this sector. Recently, Allbridge announced the integration of USDT into the Solana network through its bridge, facilitating a direct connection from the Ethereum Virtual Machine (EVM) to that network, as reported by CriptoNoticias.
This expansion stands out as a new access route for the most valuable stable cryptocurrency on the market to that ecosystem.
Asset Tokenization Strengthens Ethereum
Hougan also highlights that Ethereum is the main platform for most real-world asset tokenization projectsknown as RWA (Real World Assets).
These include large initiatives such as BlackRock’s BlackRock USD Institutional Digital Liquidity (BUIDL) fund and DeFi protocol Ondo, both built on the Ethereum network.
When it comes to US Treasuries, a growing fraction is being tokenized. In fact, according to RWA.xyz browser data, 73% of these tokenized bonds operate on Ethereumwhich reflects its importance in the more traditional sectors of finance.
“If you work at a big bank and you’re trying to tokenize an asset, you’re not going to get fired for putting it on Ethereum,” Hougan stressed, highlighting the trust that financial institutions have placed in this network.
For Hougan, Ethereum is not only a robust network, it continues to evolve and generate real value for those who use it and they trust it for the future of the financial sector.
The future of Ethereum ETFs
With the approval of Ethereum-based ETFs, cryptocurrency has cemented its status as a mature asset class. However, these investment vehicles have shown considerably lower trading volume compared to bitcoin (BTC)-based ETFs.
Capital outflows from Ethereum funds have been constant, raising questions about their performance.
Despite these challenges, Hougan remains optimistic about the future. “One thing I am really sure of is that 2025 flows into cryptocurrency-based ETFs will outperform 2024. And I bet 2026 flows will outperform 2025,” he said.
Although Ethereum ETFs have fallen short of some investors’ expectations, Hougan believes this is due to the need for more education about the network. “Ethereum requires a little more education than Bitcoin, but that education is happening,” he said.
Hougan also observed a clear divide between customers interested in bitcoin and those who see a promising future in Ethereum. “Those who are concerned about the monetary situation and the fate of the US dollar gravitate towards Bitcoin, while the rest tend to be much more excited about everything being built on top of Ethereum.”
