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Guavy AI Editorial TeamSentiment: 3Clout: 62

Ethereum Surpasses Bitcoin in Institutional Investor Appeal

As the crypto market continues to evolve, a notable trend has emerged: institutional investors are increasingly betting on Ethereum. This shift marks a move from viewing crypto as a store of value to treating it as essential digital infrastructure.

The ability of Ethereum to generate reliable income through staking is a major draw for Wall Street firms. Through a process called staking, institutions can earn around 3% to 5% annually by helping to secure the network. This cash-flow mechanic has become an attractive feature for firms looking for assets with clear earnings.

Ethereum's smart contract acts as self-executing code on the blockchain, serving as the backbone for decentralized finance (DeFi). The platform automates financial services like lending, borrowing, and trading without intermediaries, making it a crucial component of the digital economy.