Ethereum 2026: 5x Growth Window Opens, Institutions Snatch Up, ETH Value Reassessment

Author: Vivek Raman, Etherealize

Translation by: Saoirse, Foresight News

Editor’s Note: At the start of 2026, while global financial institutions are still seeking a definitive path for digital transformation, Ethereum has quietly become the core battleground for institutional deployment, thanks to its decade-long proven security, scalable technology support, and clear regulatory environment. From JPMorgan deploying money market funds on public blockchains, Fidelity integrating asset management into Layer1 networks, to the U.S. GENIUS Act clearing regulatory hurdles for stablecoins, and platforms like Coinbase and Robinhood building dedicated blockchains on Layer2 — a series of actions confirm Ethereum’s transformation from a “tech experiment” to a “global financial infrastructure.” In this analysis, Vivek Raman of Etherealize not only dissects the underlying logic behind Ethereum becoming the “best business platform,” but also forecasts a “fivefold growth” in tokenized assets, stablecoins, and ETH prices across three tracks. His insights into institutional holdings trends and the “blockchainization” inflection point of the financial system may provide key guidance for understanding the direction of the crypto market and financial reforms in the new year.

Over the past decade, Ethereum has established itself as the most secure and reliable blockchain platform adopted by global institutions.

Ethereum’s technology has achieved scalable applications, with proven institutional use cases. The global regulatory environment is increasingly welcoming blockchain infrastructure, and the development of stablecoins and asset tokenization is bringing fundamental change.

Therefore, from 2026 onward, Ethereum will become the best platform for conducting business.

After ten years of application promotion, stable operation, global adoption, and high availability, Ethereum has become the preferred choice for institutions deploying blockchain. Next, let’s review how Ethereum has gradually become the default platform for tokenized assets over the past two years.

Finally, we will present a forecast for Ethereum in 2026: tokenized asset scale, stablecoin scale, and ETH price are all expected to increase fivefold. The stage for Ethereum’s revival is set, and the time for various enterprises to adopt Ethereum infrastructure is ripe.

Ethereum: The Core Platform for Tokenized Assets

The revolution in assets brought by blockchain is akin to the internet’s reshaping of information — enabling assets to be digitized, programmable, and interoperable globally.

Asset tokenization integrates assets, data, and payments into a unified infrastructure, fully upgrading business processes. Stocks, bonds, real estate, and capital can circulate at internet speed. This is a major upgrade that the financial system should have adopted long ago, and now, global public blockchains like Ethereum are finally making this vision a reality.

Tokenization of assets is rapidly shifting from a popular concept to a fundamental business model upgrade. Just as no company would abandon the internet for the fax machine era, once financial institutions experience the efficiency, automation, and high speed brought by shared global blockchain infrastructure, they will not revert to traditional models. The tokenization process will become irreversible.

Currently, the majority of high-value assets are tokenized on Ethereum — because Ethereum is the most neutral and secure global infrastructure. Like the internet, it is not controlled by any single entity and is open to all users.

By 2026, the “experimental phase” of asset tokenization will have officially ended, and the industry will have entered deployment. Major institutions are directly launching flagship products on Ethereum to access global liquidity.

Here are some examples of institutional asset tokenization on Ethereum:

• JPMorgan directly deploys money market funds on Ethereum, becoming one of the first banks to adopt public blockchain;
• Fidelity launches money market funds on Ethereum Layer1, integrating asset management and operational processes into blockchain systems;
• Apollo launches a private credit fund, ACRED, on public blockchain, with Ethereum and its Layer2 networks offering the highest liquidity;
• BlackRock, as one of the most active advocates of “everything tokenized,” has launched a tokenized money market fund, BUIDL, on Ethereum, leading the wave of institutional asset tokenization;
• Amundi (Europe’s largest asset manager) tokenizes its euro-denominated money market fund on Ethereum;
• BNY Mellon (the oldest bank in the U.S.) tokenizes a AAA-rated collateralized loan obligation (CLO) fund on Ethereum;
• Baillie Gifford (one of the UK’s largest asset managers) plans to launch its first tokenized bond fund on Ethereum and Layer2 networks.

Ethereum: The Core Blockchain for Stablecoins

Stablecoins are the clearest example of “product-market fit” in asset tokenization — by 2025, stablecoin transfer volume has exceeded $10 trillion. Essentially, stablecoins are tokenized dollars, representing a “software upgrade” of currency, enabling dollars to circulate at internet speed with programmable features.

2025 is a pivotal year for stablecoins and public blockchain development: the U.S. GENIUS Act (also known as the Stablecoin Act) was officially passed. This legislation establishes a regulatory framework for stablecoins and signals a “green light” for the underlying public blockchain infrastructure.

Even before the GENIUS Act, Ethereum’s stablecoin adoption rate was already leading. Today, 60% of stablecoins are deployed on Ethereum and Layer2 networks (if future Ethereum Virtual Machine-compatible chains that could become Layer2 are included, this figure rises to 90%). The enactment of the GENIUS Act marks Ethereum’s official “opening for commercial use” — institutions can now operate regulated stablecoins on public blockchains.

The reason email and websites achieved large-scale adoption is because they connected to a unified global internet (rather than isolated internal networks). Similarly, stablecoins and all tokenized assets can only fully realize their utility and network effects within a unified global public blockchain ecosystem.

Thus, the explosive growth of stablecoins is just beginning. A typical example is SoFi, the U.S. national bank, which became the first to issue a stablecoin (SoFiUSD) on a permissionless public blockchain, ultimately choosing Ethereum.

This is just the “tip of the iceberg” in stablecoin development. Investment banks and new banking entities are exploring issuing their own stablecoins either independently or through alliances. Fintech companies are also advancing deployment and integration of stablecoins. The digitalization of the U.S. dollar on public blockchains has already begun, with Ethereum serving as the default platform for this process.

Ethereum: Building Dedicated Blockchains

Blockchain is not a “one-size-fits-all” tool. The global financial market needs tailored solutions based on regional, regulatory, and client differences. For this reason, Ethereum was designed from the outset with high security as a core goal, and through flexible deployment of “Layer2 blockchains,” it enables high customization.

Just as each enterprise has its own website, applications, and customized environment on the internet, many will have their own dedicated Layer2 blockchain within the Ethereum ecosystem.

This is not just a theoretical architecture but a practical application already in place. Ethereum Layer2 solutions have established institutional use cases, enabling scalable deployment and becoming a core support for Ethereum’s “business-friendly” features. Some examples include:

• Coinbase built its Base blockchain on Ethereum Layer2, leveraging Ethereum’s security and liquidity while creating new revenue streams;
• Robinhood is developing a dedicated blockchain that will integrate tokenized stocks, prediction markets, and various assets, built on Ethereum Layer2 technology;
• SWIFT (the global bank messaging network) is adopting Ethereum Layer2 network Linea for blockchain-based settlement services;
• JPMorgan has deployed tokenized deposit services on Ethereum Layer2 network Base;
• Deutsche Bank is building a permissioned public blockchain network based on Ethereum Layer2, laying the foundation for more banks to develop Layer2 solutions.

The value of Layer2 is not only in customization but also in being the best business model in blockchain. Layer2 combines Ethereum’s global security with operational efficiencies, achieving profit margins over 90%, and opening new revenue streams for enterprises.

For institutions adopting blockchain technology, this is the optimal “win-win” approach — leveraging Ethereum’s security and liquidity while maintaining their own profit margins and operating dedicated environments within the Ethereum ecosystem. Robinhood’s choice to build its own blockchain on Ethereum Layer2 exemplifies this: “Creating a truly decentralized, secure chain is extremely difficult… but with Ethereum, we can default to security.”

The global financial market will not be confined to a single blockchain, but the entire financial system can achieve coordination through interconnected networks — a network that is Ethereum and its Layer2 ecosystem.

Regulatory Environment Transformation

Without regulatory support, fundamental upgrades to the global financial system are impossible. Financial institutions are not tech companies and cannot innovate through “rapid trial and error.” The flow of high-value assets and capital requires a robust regulatory framework, and the U.S. is leading in this area:

• Under SEC Chair Paul Atkins, since Ethereum’s inception in 2015, the first supportive regulatory framework for innovation has been established. Institutions are actively embracing asset tokenization, and the financial system is preparing for migration to digital infrastructure. Atkins himself has stated, “Within the next two years, all markets in the U.S. will be operating on-chain.”
• The U.S. Congress also supports responsible blockchain adoption. The 2025 GENIUS Act (mentioned earlier in the stablecoin section) and the upcoming CLARITY Act (which will establish a comprehensive framework for asset tokenization and public blockchain infrastructure) have incorporated blockchain into the legal system, providing clear guidance for financial institutions.
• Although not a government agency, the DTCC (Depository Trust & Clearing Corporation), as the core infrastructure operator of the U.S. securities market, has fully embraced asset tokenization, allowing assets held in DTC custody to circulate on public blockchains.

Over the past decade, the blockchain ecosystem was in a “regulatory gray area,” limiting institutional-level applications. Now, led by the U.S., the regulatory environment has shifted from “resistance” to “support.” Ethereum has been fully positioned as the “best business platform,” with a thriving stage for growth.

ETH: Institutional-Grade Treasury Assets

Ethereum’s status as the “safest blockchain” makes it the default choice for institutions. Based on this, in 2026, ETH will be revalued alongside BTC as an “institutional-grade store of value.”

The blockchain ecosystem will have more than one store of value: BTC has established itself as “digital gold,” while ETH is becoming “digital oil” — a value store with yield, utility, and driven by an underlying ecosystem that fuels economic activity.

MicroStrategy, as the company holding the most Bitcoin, has led the process of BTC becoming a store of value. Over the past four years, MicroStrategy has continuously added BTC to its treasury, advocating for BTC’s value proposition, making it a core component of institutional digital asset holdings.

Today, four “MicroStrategy-like” companies have emerged within the Ethereum ecosystem, pushing ETH toward similar breakthroughs:

• BitMine Immersion (Stock code: BMNR), operated by Tom Lee;
• Sharplink Gaming (Stock code: SBET), operated by Joe Lubin and Joseph Chalom;
• The Ether Machine (Stock code: ETHM), operated by Andrew Keys;
• Bit Digital (Stock code: BTBT), operated by Sam Tabar.

MicroStrategy holds 3.2% of the circulating BTC supply. The four ETH-holding companies have collectively purchased about 4.5% of the circulating ETH in the past six months — and this process has only just begun.

As these companies continue to include ETH in their balance sheets, institutional ownership of these ETH holdings is rapidly rising. ETH is poised for revaluation, potentially matching BTC as an institutional-grade store of value.

2026 Ethereum Forecast: Fivefold Growth

Tokenized Assets: Fivefold Increase to $100 Billion

In 2025, the total value of tokenized assets on blockchain grew from about $6 billion to over $18 billion, with 66% deployed on Ethereum and Layer2 networks.

The global financial system has just begun the asset tokenization journey, with institutions like JPMorgan, BlackRock, and Fidelity already using Ethereum as the default platform for high-value tokenized assets.

We forecast that by 2026, the total tokenized asset scale will increase fivefold, reaching nearly $100 billion, with most assets deployed on Ethereum.

Stablecoins: Fivefold Increase to $1.5 Trillion

Currently, the total market cap of stablecoins on public blockchains is $308 billion, with about 60% deployed on Ethereum and Layer2 networks (if future Ethereum Virtual Machine-compatible chains that could become Layer2 are included, this rises to 90%).

Stablecoins have become a strategic asset for the U.S. government. The U.S. Treasury has repeatedly stated that stablecoins are central to maintaining dollar dominance in the 21st century. The total dollar supply is $22.3 trillion. With the implementation of the GENIUS Act and large-scale stablecoin adoption, an estimated 20%-30% of dollars will migrate onto public blockchains.

We forecast that by 2026, the total stablecoin market cap will grow fivefold to $1.5 trillion, with Ethereum playing a leading role in this process.

ETH: Fivefold Growth to $15k

ETH is rapidly developing into an institutional-grade store of value alongside BTC. ETH’s growth potential is a “bullish option” for blockchain technology, driven by:

• Expansion of asset tokenization
• Widespread adoption of stablecoins
• Increased institutional blockchain adoption
• The “ChatGPT moment” in the financial system’s upgrade to the internet era (referring to industry-transforming technological breakthroughs)

Holding ETH is akin to owning a stake in the “new financial internet.” Its value growth is logically driven by increases in user base, asset volume, applications, Layer2 networks, and transaction frequency.

We forecast that by 2026, ETH will achieve at least five times its current value (market cap around $2 trillion, comparable to current BTC market cap), ushering in an “Nvidia moment” for ETH — a critical phase of explosive growth similar to Nvidia’s AI-driven surge.

Ethereum: The Best Platform for Business

By 2026, the discussion of “why adopt blockchain” will be a thing of the past. Now, institutions are fully engaged in asset tokenization, stablecoin applications, and customized blockchain deployments, marking the beginning of a structural upgrade to the global financial system.

When choosing blockchain infrastructure, institutions prioritize: proven operational history, application precedents, security, liquidity, usability, and risk levels — and Ethereum outperforms in all dimensions. If a company has the following needs, Ethereum is the ideal choice:

• Profitability enhancement? Reduce costs via asset tokenization, lower fees with stablecoins, or build dedicated blockchains on Ethereum.
• New revenue streams? Develop structured products, launch new assets, or issue proprietary stablecoins on Ethereum.
• Business digital transformation? Optimize operations, automate accounting and payments, and reduce manual reconciliation using Ethereum.

2025 marks a turning point for Ethereum: infrastructure upgrades are complete, institutional pilot projects are scaling, and regulatory environments are turning favorable.

In 2026, the global financial system will experience an “Internet moment” — and this transformation will occur on Ethereum, the best platform for conducting business.