Ethereum’s Market Cap Reaches $337 Billion Surpassing Nestle, P&G, and Roche
As of the past few events that include way too much institutionalized adoption taking place and the price of gas on the Ethereum’s blockchain getting under control, the trading soared on Ethereum’s platform. All of this leads to a subtle price bump for Ethereum, and it finally managed to cross the $3000 range, which is nothing short of an accomplishment for the cryptocurrency. But this doesn’t compensate for all the feats Ethereum has been making; as of this moment, the Ethereum network has climbed all the way to $337 Billion in terms of the market cap taking down giant business bulls such as Nestle, P&G, and Roche pharmaceuticals.
It almost sounds unreal that such companies and enterprises who have thrived undoubtedly in their business and have stayed all these decades can be overrun by a technology that is not more than half a decade old. But then the current adoption, trading, and the traffic laying around Ethereum’s blockchain can make up for the missing pieces of this puzzle.
The current talks of dominating the market might not be feasible for the traditional finance personnel as the value of an asset needs to be determined or estimated by comparing various multiples and valuations, but in the case of Ethereum, that is easier said than done. There is no complacent metric that can be used to determine the current value of Ethereum’s market due to the far-fetched nature of the platform.
It might not be fair to compare decade-old companies and franchises that rely heavily on the production and distribution of their product with a tech-tailored protocol, but those companies are good in terms of offering dividends to their shareholders. On the other hand, Ethereum can be staked for a return or amassed in a great amount only to be sold when the price goes up, but there are intense risks involved in doing so.
The mere talks that in case of such enterprises, there is always risk involved of failing production, errors in packaging or distribution and no such risk persists in case of Ethereum is a total bust. There are more severe risks involved in the case of crypto trading that one can only fathom. But given the massive adoption, managed volatility of the crypto market, for the time being, excessive trading is taking place on Ethereum’s platform.