Ether is trading around half of all time high prices, but the Ethereum network is still appreciated as higher than some of the most popular companies in the world.
Ether (Eth) exchanged to nearly $ 2,088 at the time of writing in the middle of cOntinued exchange-traded fund (ETF) outflowsdown by more than 57% from all times high nearly $ 4,900 set in mid -November 2021, According to In CoinMarketCap data.
Despite this denial, Ethereum maintains a market capitalization of nearly $ 252 billion, exceeding global corporations such as Toyota ($ 250 billion) and the total market value of precious metal platinum ($ 245 billion).
Other well -known companies currently cost less than the Ethereum network includes IBM, McDonald’s, General Electric, Shell and Disney. If Ethereum is a company, it will be the world’s largest largest, just behind the Nestlé, with the market capitalization of nearly $ 256 billion.
Alex Obchakevich, founder of Obchakevich Research, told the Cointelegraph that the speculation -of interest significantly contributed to Ethereum’s appreciation, as well as “freedom from the financial framework of traditional finance.” He added:
“Ethereum is about the future, about new financial technologies and solutions. The project is still very young and attracting many new and young investors who are willing to take risks. I believe the average zoomer will choose Ethereum for investment than Toyota or IBM shares.”
Flavio Bianchi, a Polkadot ambassador and the chief marketing officer of the decentralized fundraising platform Polimec, told Cointelegraph that the comparison was less intelligent than it might have appeared at first. He has shown that “Ethereum is not a business” – this infrastructure. He explained:
“Its value does not only come from revenue or income but from its future use and beliefs. It allows people to develop, transact, issue property and coordinate without intermediaries.”
Obchakevich also suggested that the Ethereum became more attractive after it moved to the proof-of-stake (POS), strengthening its “value as a deflationary asset with potential growth in the digital economy.”
Related: ETH can get
Is Ethereum a deflationary asset?
Recent data from the Ultra sound of money shows that Ethereum is inflationary again, with an annual inflation rate of almost 0.73% over the past 30 days.
The inflation rate or deflection is largely dependent on the ETH fees burned by the network and the amount of the newly issued ether. Fees have been burned on the network since EIP-1559 implementation in 2021.
Intoteblock data Shut up That on March 23, the sun -the -day Ethereum fees fell to a little over $ 337,000, the lowest amount reported since June 2020. Ycharts also Shut up That on March 23, there were only 118.67 ETHs worth the fees, the lowest amount reported this year.
Transaction fees on the Ethereum network per day. Source: ycharts
Over the past 24 hours, the ETH value has increased by nearly 3.5%, increasing market capitalization by nearly $ 9.3 billion, reaching approximately $ 252.1 billion. For the comparison, this figure exceeds Greece’s Gross Domestic Product (GDP), which is currently around $ 243.5 billion.
Related: Ethereum Eyes 65% Gains from ‘Cycle Bottom’ as Blackrock Eth Stash Crosses $ 1B
Obchakevich featured that besides being worth more than Greece’s GDP, the Ethereum market cap is also higher than the GDP of countries such as Slovenia and Croatia combined. He said it was more than a curious factoid:
“For institutional investors, this is a sign of legitimacy. The Ethereum is valued for smart contracts, and the Defi has a TVL (total amount locked) of over $ 124 billion, seeing it not only as imaginary but as the infrastructure of the future.”
Pradeep Singh, CEO of Enterprise Privacy and Security Infrastructure Firm Gateway FM, told Cointelegraph that these numbers reflect “a major transition to how we appreciate digital infrastructure”::
“What we have witnessed is a growing recognition that significant parts of the global economy will eventually move to this infrastructure. The capitalization of the Ethereum market is an important pricing in its future role as a layer of regulating for all from financial services to chain management.”
The Ethereum Protocol is constantly changing as developers have introduced innovations As native rollupsFurther expansion of blockchain capabilities and potential use cases.
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