Ethereum 2026: 5x growth window opens, institutions rush to raise funds, and ETH value revaluation

Author: Vivek Raman, Etherealize

Compiled 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 chains, Fidelity integrating asset management into Layer 1 networks, to the US GENIUS Act clearing regulatory hurdles for stablecoins, and platforms like Coinbase and Robinhood building dedicated blockchains on Layer 2 — these actions confirm Ethereum’s evolution 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 predicts a “three-track 5x growth” in tokenized assets, stablecoins, and ETH prices. His insights into institutional holdings trends and the “blockchainization” turning 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 application, 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 be the premier 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 forecast Ethereum’s 2026 outlook: tokenized asset scale, stablecoin scale, and ETH price are all expected to grow 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 transformation of assets via blockchain is akin to how the internet reshaped 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 now 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 turning this vision into reality.

Tokenization is rapidly shifting from a hot concept to a fundamental business model upgrade. Just as no company would abandon the internet for fax machines, once financial institutions experience the efficiency, automation, and speed benefits of shared global blockchain infrastructure, they will not revert to traditional methods. The tokenization process will become irreversible.

Currently, most high-value assets are tokenized on Ethereum — because Ethereum is the most neutral, 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 Layer 1, integrating asset management and operations into blockchain infrastructure;
• Apollo launches private credit funds (ACRED) on public blockchains, with Ethereum and its Layer 2 networks offering the highest liquidity;
• BlackRock, as a leading advocate of “everything tokenized,” introduces tokenized money market funds (BUIDL) on Ethereum, leading the institutional asset tokenization wave;
• Amundi (Europe’s largest asset manager) tokenizes its euro-denominated money market funds on Ethereum;
• BNY Mellon, the oldest US bank, 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 Layer 2 networks.

Ethereum: The Core Blockchain for Stablecoins

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

2025 is a pivotal year for stablecoins and public blockchain development: the US GENIUS Act (also known as the Stablecoin Act) was officially passed, establishing a regulatory framework for stablecoins and greenlighting 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 Layer 2 networks (if future Ethereum Virtual Machine-compatible chains that could become Layer 2 are included, this rises to 90%). The enactment of the GENIUS Act marks Ethereum’s official “opening for commercial use” — institutions can now deploy their own stablecoins with regulatory approval.

The reason email and websites achieved large-scale adoption is because they connected to a unified global internet (not isolated intranets). Similarly, stablecoins and all tokenized assets can only fully realize their potential and network effects within a unified global public blockchain ecosystem.

Thus, the explosive growth of stablecoins is just beginning. A typical case is SoFi, the US 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” for stablecoin development. Investment banks and new banking entities are exploring issuing their own stablecoins solo or in alliances, and fintech companies are advancing deployment and integration. The digitalization of the US dollar on public blockchains has already begun, with Ethereum serving as the default platform.

Ethereum: Building Dedicated Blockchains

Blockchain is not a “one-size-fits-all” tool. The global financial market needs tailored solutions based on geography, regulation, and customer base. For this reason, Ethereum was designed from the start with high security as a core goal, and through flexible Layer 2 solutions, it enables highly customized deployments.

Just as each enterprise has its own website, app, and customized environment on the internet, many will have their own dedicated Layer 2 blockchain within the Ethereum ecosystem.

This is not just theoretical — it’s already being implemented. Ethereum Layer 2 solutions have established institutional use cases, enabling scalable deployment and becoming a core feature of Ethereum’s “business-friendly” nature. Some examples:

• Coinbase built the Base blockchain on Ethereum Layer 2, 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 Layer 2;
• SWIFT (the global bank messaging network) is using Ethereum Layer 2 network Linea for blockchain-based settlement services;
• JPMorgan deployed tokenized deposit services on Ethereum Layer 2 network Base;
• Deutsche Bank is building a permissioned public blockchain on Ethereum Layer 2, laying the groundwork for more banks to develop Layer 2 solutions…

Layer 2’s value lies not only in customization but also as the best business model in blockchain. It combines Ethereum’s global security with operational profits exceeding 90%, opening new revenue streams for enterprises.

For institutions adopting blockchain, this is the optimal approach — leveraging Ethereum’s security and liquidity while maintaining profit margins and operating dedicated environments within the Ethereum ecosystem. Robinhood’s choice to build its own chain on Ethereum Layer 2 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 system can coordinate through interconnected networks — and this network is Ethereum and its Layer 2 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. High-value assets and capital flows require a robust regulatory framework, and the US 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 states, “Within two years, all US markets will be operational on-chain.”
• Congress also supports responsible blockchain adoption. The 2025 GENIUS Act (mentioned earlier in stablecoins) and the upcoming CLARITY Act, which will establish comprehensive frameworks for asset tokenization and public blockchain infrastructure, have incorporated blockchain into legal systems, providing clear guidance for financial institutions.
• The DTCC (Depository Trust & Clearing Corporation), though a private entity, is a core infrastructure operator for US securities markets. It has fully embraced asset tokenization, allowing assets held in DTC custody to circulate on public blockchains.

Over the past decade, blockchain’s ecosystem was in a “regulatory gray area,” limiting institutional applications. Now, led by the US, the regulatory environment has shifted from “resistance” to “support.” Ethereum, as the “best business platform,” has a fully built stage for thriving development.

ETH: Institutional-Grade Treasury Asset

Ethereum’s position as the “safest blockchain” makes it the default choice for institutions. By 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 a robust ecosystem that fuels economic activity.

MicroStrategy, 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 its value proposition and making it a core component of institutional digital asset holdings.

Today, four “MicroStrategy-like” companies are emerging in 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 owns about 3.2% of BTC circulating supply. The four companies above have collectively purchased about 4.5% of 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 store of value.

2026 Ethereum Forecast: 5x Growth

Tokenized Assets: 5x to $100 billion

In 2025, the total value of tokenized assets on blockchain grew from approximately $6 billion to over $18 billion, with 66% deployed on Ethereum and Layer 2 networks.

The global financial system is just beginning its 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 market will grow fivefold, reaching nearly $1 trillion, with most assets deployed on Ethereum.

Stablecoins: 5x to $1.5 trillion

Currently, the total stablecoin market cap on public blockchains is $308 billion, with about 60% on Ethereum and Layer 2 networks (if future compatible chains that could become Layer 2 are included, this rises to 90%).

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

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

ETH: 5x to $15,000

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

• Expansion of asset tokenization
• Widespread stablecoin adoption
• Increased institutional blockchain adoption
• The “ChatGPT moment” — a breakthrough industry shift driven by technological leaps

Holding ETH is akin to owning a stake in the “new financial internet.” Its value growth is clear: increasing user base, asset volume, applications, Layer 2 activity, and transaction frequency will all push ETH’s value higher.

We forecast that by 2026, ETH will achieve at least 5x growth, reaching a market cap of $2 trillion, comparable to current BTC valuation, heralding an “NVIDIA moment” for ETH — a critical phase of explosive growth driven by AI and technological breakthroughs.

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 deployment, and customized blockchain solutions, signaling a structural upgrade of the global financial system.

When choosing blockchain infrastructure, institutions prioritize: proven track record, application cases, security, liquidity, usability, and risk management — and Ethereum excels in all these areas. If a company needs to:

• Increase profit margins? Use asset tokenization to cut costs, stablecoins to reduce fees, and build dedicated blockchains on Ethereum.
• Create new revenue streams? Develop structured products, launch new assets, or issue proprietary stablecoins on Ethereum.
• Digitize operations? Optimize workflows, 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 becoming favorable.

By 2026, the global financial system will experience an “Internet moment” — and this transformation will unfold on Ethereum, the premier platform for doing business.