Ethereum is the hottest crypto right now. On Wall Street, billions are flowing in every week through ETFs and publicly traded companies. Its price has made a strong comeback since its April lows — and everyone seems to have forgotten that not long ago, people were calling it “dead.”

Everyone talks about it, but few truly understand it. Maybe you didn’t know these things about Ethereum…

$ETH is the native cryptocurrency of a complex, diverse, and yet deeply central ecosystem in the world of digital assets.

This is where most of DeFi happens. It’s the birthplace of the best protocols. And quite simply, it’s where the big money moves.

1. Variable Monetary Policy

Bitcoin’s monetary policy is simple to grasp. Ethereum’s? Not so much.

Bitcoin produces new BTC with every block, and approximately every 4 years, the block reward is cut in half. This is the famous halving.

Ethereum, on the other hand, is more complex. The fees paid by users to make transactions are burned — meaning they’re permanently removed from circulation.

You pay gas fees, and the ETH you spend gets destroyed, reducing the total supply over time.

2. Yield!

Unlike Bitcoin, Ethereum offers yield.

Through staking, ETH holders can earn passive income — a system that’s somewhat like earning bond interest or stock dividends. This appeals especially to traditional investors, because it allows them to earn returns while holding a long position.

Soon, staking will be integrated into spot ETFs in the U.S., making these financial products even more attractive to institutional investors.

3. A Neat Trick

Ethereum can also be used in delta-neutral strategies, meaning you can earn yield regardless of price movement.

This is already being done by protocols like Ethena with their USDe. While this kind of setup is possible with many cryptos, it works particularly well with ETH.

Here’s a basic structure:

• Go long with 50% of your capital in ETH, preferably staked (either directly or through liquid staking like Lido or Rocket Pool).

• Go short with the remaining 50% via perpetual futures.

Where’s the profit?
From the staking rewards on the long side, plus funding rate income on the short futures side. This can be especially profitable during bullish markets, when funding rates reward short positions.

Since the position is hedged, the combined long/short exposure keeps your investment value stable even if ETH’s price moves.

4. Core Infrastructure

Few blockchain networks have gained serious traction without Ethereum Virtual Machine (EVM) compatibility. Even Ripple has recently launched a sidechain to support EVM.

Without going too deep into the technical side: Ethereum and its standards remain deeply embedded in the blockchain ecosystem, and it’s likely to stay at the center for years to come.

5. BlackRock’s Backing

Having a spot ETF managed by BlackRock makes a world of difference in terms of credibility, especially for traditional investors.

BlackRock’s involvement signals institutional trust, brings regulatory clarity, and massively increases Ethereum’s visibility in the traditional finance world.

BlackRock has leveraged its market credibility to promote its Ethereum ETF — clearly with the goal of profit, not as part of any political agenda.

However, its involvement has already significantly benefited Ethereum, especially in terms of price performance — and it will likely continue to do so in the future.