Ethereum Dominance in Onchain Finance Confirmed by Grayscale Research

A new study by Grayscale Research has shed light on Ethereum's significant presence in the onchain finance ecosystem.

The research team found that Ethereum holds over 50% of all stablecoin balances as of mid-2025, with its Layer 2 networks playing a crucial role in processing transactions. This dominance is also reflected in decentralized finance (DeFi), where approximately 65% of total value locked across DeFi protocols resides within the Ethereum ecosystem.

The study highlights the growing institutional interest in Ethereum, citing major firms such as Coinbase and Sony building on its infrastructure for decentralized applications and settlement layers. The $5.4B net inflows to spot ETH exchange-traded products in July 2025 further underscores this trend.