The second cryptocurrency is on the rise! According to a report by research firm Steno Research, Ethereum's blockchain has shown a significant increase in transaction revenue following Donald Trump's victory in the US presidential election. Great news!
Mads Eberhardt, an analyst at Steno Research, highlighted the importance of this result for overall network activity. “This surge has led to higher staking rewards and an increase in the amount of Ether coins burned through transaction fees,” he noted. The report emphasizes that these factors “strengthen Ethereum’s tokenomics, thereby enhancing its attractiveness.”
Steno Research experts have also pointed out a significant shift in stablecoin distribution. For the first time in two years, the amount of USDT on the Ethereum network has surpassed its presence on the Tron network. This activity reflects a substantial rise in demand for Ether, which is used to conduct transactions within the network.
The current growth is not only due to Ethereum's main network. The number of daily transactions on Ethereum's Layer 2 networks, known as rollups, is also increasing. Rollups are designed to process transactions off the Ethereum mainnet, boosting transaction speed and reducing costs.
These Layer 2 solutions operate atop the base layer and aim to address scaling and data congestion issues. Although the daily fees paid by these rollups to the Ethereum network are not yet significant, Steno Research analysts expect them to reach $1 million in the near future, “representing a substantial contribution to the network's economic structure.”
Amid these developments, US Ethereum spot exchange-traded funds (ETFs) recorded their largest single-day inflow of funds on December 6, surpassing Bitcoin ETFs for the first time.