Ethereum's big moment: why Wall Street is suddenly all in on ETH

Ethereum is having its big moment. From Wall Street to prominent investors and U.S. politicians, more and more people are suddenly hyped about Ethereum. So what’s behind the recent Ethereum excitement? Well, Tom Lee has a lot to do with it.

Who is Tom Lee and why does he matter?

Tom Lee isn’t your average crypto influencer. He’s the co-founder and Head of Research at Fundstrat Global Advisors and has been one of the earliest and most consistent Wall Street voices to support Bitcoin and Ethereum. In July 2025, he made some bold comments that got everyone talking. This time, however, his focus wasn’t Bitcoin — it was Ethereum.

Ethereum treasury strategy: Is it a thing?

Lee said that an increasing number of companies are adopting the well-known Bitcoin Treasury Strategy, originally popularised by MicroStrategy, but with Ethereum instead.

Take BitMine Immersion, for example. It was once a Bitcoin mining company, but under Lee’s leadership, it has moved to Ethereum and now has an impressive amount of 300,700 ETH (valued at around USD 1.09 billion) on its balance sheet.

And they’re not alone: Lido, Frax Finance and Gnosis DAO — all well-known players in decentralised finance — also hold Ethereum in their treasuries.

^{Source: https://www.strategicethreserve.xyz/}

Stablecoins: The “ChatGPT of crypto”

Tom Lee also called stablecoins the “ChatGPT of crypto” — a catchy way of saying they've gone mainstream fast. But why should this be relevant to Ethereum? Here’s the logic:

Over 50% of stablecoin activity happens on the Ethereum network.
Stablecoins now account for around 30% of Ethereum’s fee revenue.
If the stablecoin market reaches a market capitalisation of USD 2 trillion, the demand for Ether could explode.

This creates a strong case for companies to hold Ethereum strategically.

Circle's IPO: A huge success!

If there was any doubt that stablecoins had entered the big leagues, Circle's IPO erased it.

Circle, the issuer of USDC (the second-largest stablecoin), went public in early June 2025. Since then, the stock has performed extremely well. Thanks in part to the US Senate passing the GENIUS Act — a legislative initiative in favour of stablecoins — the share price rose significantly within a few weeks. An impressive stock market debut that underscores the growing importance of stablecoins.

This indicates: Stablecoins aren’t just for crypto anymore — they’re now part of Wall Street’s vocabulary.

Why did the REX Osprey SOL ETF get approved, while all the other Solana ETF filings still await approval from the SEC?

REX Osprey did not file under the standard spot ETF route. Instead, it registered under the Investment Company Act of 1940. It owns SOL via a Cayman Islands subsidiary and invests at least 40% of its assets in non-US staking ETPs. This allows it to circumvent the standard 19b-4 process that the SEC uses for spot crypto asset ETFs. By using this “back door”, REX Osprey has sidestepped the hurdles that traditional spot filings must go through.

Following this approval, the SEC recently asked issuers to amend and refile their applications for spot Solana ETFs by the end of July, hinting that approvals could be just around the corner. Technically, the SEC has until 10 October to approve or deny such a fund, but it seems the regulatory agency wants to accelerate the process and approve one or more of the funds way ahead of that deadline.

Ethereum ETFs are booming!

Another significant indication that Ethereum has found an ally in Wall Street investors is the steady increase in inflows to Ethereum ETFs. Since mid-May, Ethereum ETFs have only experienced outflows on two days. On 16 July, they saw their largest inflow ever — USD 726 million in a single day!

Similar to Bitcoin ETFs, the main drivers behind this surge are BlackRock's ETHA product and Fidelity's FETH.

^{Source: https://www.coinglass.com/eth-etf}

Is ETH staking the next big thing?

While Ethereum’s narrative change and connection to stablecoins has driven recent investment interest, it is not the only reason for the flood of money pouring into Ethereum ETFs.

The momentum of this inflow may also be driven by increased expectations of U.S. approval for Ethereum staking ETFs. On the one hand, Blackrock recently filed an application with the US Securities and Exchange Commission for staking in its Ethereum ETFs. On the other hand, enthusiasm picked up significantly after the REX Osprey Solana + Staking ETF was officially launched in the U.S. on 2 July, making it the country's first ever spot ETF. Since then, the ETF has attracted USD 79 million in assets.

Now that the Solana Staking ETF is live, there is growing speculation that Ethereum ETFs with staking components could soon follow suit. This growing belief among investors is helping to drive Ether’s recent price rally.

Why does this matter? From an investor’s perspective, staking is crucial. This is because only stakers receive a share of the new ETH created over time. Holding ETH without staking means the holder is diluted by continuous network asset issuance. Given this increased probability of Ethereum ETFs seeing staking enabled, it is no wonder that investors are piling in ahead of potential regulatory approval.

Conclusion: Wall Street’s Ethereum love story is just getting started

By combining innovation with institutional appeal, Ethereum has successfully captured Wall Street's attention. With treasury adoption, stablecoin dominance, ETF inflows and staking excitement, Ethereum is now poised to become a key asset for major investors. Whether this momentum continues largely depends on upcoming regulatory decisions, but the current trajectory points to a bright future for ETH in mainstream finance.

Author: Pascal Hügli

Pascal Hügli, Crypto Investment Manager at Maerki Baumann and founder of Insight DeFi, produces high-quality content on Bitcoin and crypto and contributes to Maerki Baumann's development in the area of blockchain and cryptocurrencies. As a lecturer in digital finance and crypto assets at the HWZ University of Applied Sciences in Business Administration Zurich, he has in-depth expertise in this field, which he is now also applying to the establishment of our brand "ARCHIP by Maerki Baumann".

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Editorial deadline: 22 July 2025

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Ethereum goes Wall Street