Standard Chartered Report structurally values ​​Ethereum at $26,000 to $35,000” – Bitcoin News

A report published by British bank Standard Chartered shows that the company's analysts are bullish on the crypto asset Ethereum. The bank's analysts believe Bitcoin could reach $175,000, saying: "Structurally, we 'value' Ethereum at $26,000-$35,000."

British bank publishes “Ethereum Investor Guide” and formulates the economic case for Ethereum

The British multinational banking and financial services giant Standard Chartered has published a report on the two leading cryptocurrencies. In fact, the report is called “Ethereum Investor Guide” and was written by Geoff Kendrick, Christopher Graham and Melissa Chan. The report addresses various factors, including “structural considerations” such as the “economic case for Ethereum.”

The Standard Chartered Research report states that “ ETH and BTC share many characteristics," but the Ethereum blockchain has things like smart contracts, decentralized autonomous organizations (DAOs), decentralized finance (defi), non-fungible token (NFT) assets and initial coin offerings (ICO). Despite the countless applicable use cases that Ethereum offers, the bank says there may be greater risk than with Bitcoin ( BTC ).

“While potential returns may be higher for ETH as for BTC “Risks are also higher,” said the three researchers from Standard Chartered.

Standard Chartered: Proof-of-Stake shift has “obvious environmental benefits”

In addition to NFTs, DAOs, Defi, ICOs and other applications, Standard Chartered's report highlighted the upcoming transition to Ethereum 2.0. “The change has obvious environmental benefits,” emphasized Standard Chartered researchers. “As it eliminates the need for excessive computer power for ‘mining.’ The transition from [proof-of-work (PoW)] to [proof-of-stake (PoS)] is expected to be phased in during the first half of 2022,” said Kendrick, Graham and Chan.

Standard Chartered also discussed topics such as “sharding”, “from EVM to eWASM” and the overall supply of Ether. It is also noted that the scaling of Ethereum and the ETH 2.0 rollout is a difficult task. “ ETH 2.0 is complex," the authors emphasize. "[And] a major upgrade to an already complex platform. The complexity is compounded by the fact that both ETH 1.0 and ETH 2.0 run in parallel over a longer period of time,” say the researchers.

The Standard Chartered report also considers the “regulatory landscape” and the “competitive landscape”. It mentions blockchains competing with Ethereum in the world of Defi, NFTs and decentralized applications (dapps). “Separate ecosystems already exist and can continue to challenge Ethereum in niche areas,” the report emphasizes. Additionally, “the regulatory concerns surrounding Ethereum will be very different from those of Bitcoin,” the bank’s report said.

What do you think of the Standard Chartered Report on Ethereum and other competing networks? Let us know your thoughts on this topic in the comments below.

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