Is the institutional adoption higher in case of ETH compared to Bitcoin ?

[Josefjix]

For price, BTC is mostly about ETF net flows and the "digital reserve" story. ETH's a mix of flows plus on-chain demand, if staking ever gets allowed in the big ETFs, that's less float and a cleaner yield narrative. Different beasts, different pipes feeding them. Watch ETF flows for BTC; watch on-chain activity and L2 usage for ETH.

True, recent news around the corner says ETH holders surpasses BTC, i came to understand, they meaning about DeFi usability and network interaction, majorly from the L2 sector which are wholeheartedly used by the US Wall street investors. If staking allowed by the BTC holders, its a heavy plus for the bitcoiners thats why many projects trying so hard of bring DeFi into Bitcoin which isnt that good as they explain to be.

[Emitdama]

I'm not saying Ethereum (ETH) can't compete, they can with all the potential of their ecosystem. However, surpassing Bitcoin (BTC) adoption, remember I used the word "surpass" is simply not possible. I agree that Bitcoin (BTC) & Ethereum (ETH) have completely different markets, I also agree that Ethereum (ETH) has more gateways of opportunity.

Even though ETH has more gateways it does not mean it can surpass bitcoins. Bitcoins always have and will be the mother coin with higher market cap and will be people's favourite always. We can't deny the fact that without bitcoins, nothing was possible. Imagine if bitcoins never came into picture, would there have been blockchain or any other crypto?

Institutions believe in the cause to bring crypto revolution and they will invest in this cause knowing this cause can also make them earn good chunks of profits.

For ETH, people will hold it and so will the institutions but this does not necessarily mean that the adoption for ETH is higher than BTC.

[Webetcoins]

Is the institutional adoption higher in case of ETH compared to Bitcoin ? What can be the impact of this on future prices of both coins ?

I don't think so. If it is true then ETH should lead the game. Even though institutions are centralized and have the same stance as on ETH, they can still care of what is profitable the most. The impact that I can think of in the coin is that, it can help their price to get boosted, since institutions are like big investors and they are also in for the long-term.

There are some that thinks it will make the coin to be centralized or manipulatable when institutions own many or most of the supply. BTC is created to be decentralized already and that should not changed anymore. Also, not many are going to sell their coins to these institutions because they are aware already about its potential.

[brownn]

But I don't believe it & TBH, I haven't checked the data.

If you do not have data, there is point in assuming anything.

[Abiky]

Is the institutional adoption higher in case of ETH compared to Bitcoin ? What can be the impact of this on future prices of both coins ?

Nope. BTC still remains "King" in terms of institutional adoption. Major investment firms (BlackRock, Strategy, VanEck, etc) are only accumulating Bitcoin in-mass. You don't see the same happening with Ethereum. Institutional demand for ETH is still low.

Bitcoin is more attractive because it's been often touted as the "next Digital Gold". ETH is more of a "utility coin", meant to be used as "gas" for smart contracts ("De-Fi"). It's also inflationary (despite developers claiming otherwise). The only thing ETH has is staking rewards. I don't think spot ETF holders will get such benefit. But if regulators allow it, demand for ETH would surely skyrocket. Only time will tell whenever institutional adoption of ETH will be a huge success or a failed experiment. Just my two sats.

[doomloop]

I don't really think that the institutional adoption is higher for ETH. Bitcoins have always been a favourite for such institutions and they have huge amounts pilling up in their portfolios. ETH is not really performing that well if we compare it to bitcoins. The price remains stagnant and also shows minor growth if we consider bitcoins on other hand. Bitcoins have already crossed $100,000 whereas ETH were not even able to get somewhere near $10,000. Bitcoins will be the favourite of these institutions and me as well.

This does not mean that they will never have ETH in their portfolio. They will surely have a portion but not greater than bitcoins because all their belief will be on bitcoins which will drive the prices up.

[brownn]

New huge buys from Bitmine just today: https://btcusa.com/tom-lees-bitmine-adds-82-8-million-in-ethereum-now-holds-3-5m-eth-worth-12b/

Just one entity buying multiple times will not make a huge difference. Like this same way, there is a very popular institution which is always in news for adding stack of bitcoins quite frequently.

[Odogwu-Blockchain]

Is the institutional adoption higher in case of ETH compared to Bitcoin ? What can be the impact of this on future prices of both coins ?

Ethereum was said to have surpassed Bitcoin in the Wall Street journal spiking the yielding market through the decentralized finance system, the adoption of ETH in this case was huge, considering it to be used as transaction fee and all of that, unlike Bitcoin whose only adoption is happening in the reserve by institutional corporation and government.

[passwordnow]

Is the institutional adoption higher in case of ETH compared to Bitcoin ? What can be the impact of this on future prices of both coins ?

Ethereum was said to have surpassed Bitcoin in the Wall Street journal spiking the yielding market through the decentralized finance system, the adoption of ETH in this case was huge, considering it to be used as transaction fee and all of that, unlike Bitcoin whose only adoption is happening in the reserve by institutional corporation and government.

That makes sense, it certainly have spiked due to ERC20 tokens and until now, many of them still don't have their mainnet. And so, it's used for the gas fee and when it had became a PoS, it made even better for those who hold a lot of it. But I will still not compare these two, IMO they're both great as an asset and that adoption rate for ETH I think have peak and in the end, it's still bitcoin that will rise with its adoption due to the policies now being made for US' bitcoin strategic reserve. Because other countries will copy that reserve if it's from the US.

[Taskford]

Is the institutional adoption higher in case of ETH compared to Bitcoin ? What can be the impact of this on future prices of both coins ?

Ethereum was said to have surpassed Bitcoin in the Wall Street journal spiking the yielding market through the decentralized finance system, the adoption of ETH in this case was huge, considering it to be used as transaction fee and all of that, unlike Bitcoin whose only adoption is happening in the reserve by institutional corporation and government.

That makes sense, it certainly have spiked due to ERC20 tokens and until now, many of them still don't have their mainnet. And so, it's used for the gas fee and when it had became a PoS, it made even better for those who hold a lot of it. But I will still not compare these two, IMO they're both great as an asset and that adoption rate for ETH I think have peak and in the end, it's still bitcoin that will rise with its adoption due to the policies now being made for US' bitcoin strategic reserve. Because other countries will copy that reserve if it's from the US.

Not only that, but also it happens due ETF inflows and other things caught up their interest.

Eth has benefited a lot when Clarity act passed on US here is some information about this https://cryptodamus.io/en/articles/news/clarity-act-crypto-regulation-s-new-us-landscape-what-you-need-to-know

But same with what's happening before investor attention shift and Bitcoin will remain dominant again on many aspects.

[Orpichukwu]

New huge buys from Bitmine just today: https://btcusa.com/tom-lees-bitmine-adds-82-8-million-in-ethereum-now-holds-3-5m-eth-worth-12b/

Just one entity buying multiple times will not make a huge difference. Like this same way, there is a very popular institution which is always in news for adding stack of bitcoins quite frequently.

I guess the entity you might be referring to should be MicroStrategy. They have been known for their frequent stacking of bitcoin. First, when it all started, their accumulation could spark a reaction in the market, but now we don't see it happening again.

[TastyChillySauce00]

The one reason why Bitcoin price went so high even before last halving is because of investments coming from big institutions. Now if big institutes are more interested in Ethereum then Ethereum have surpassed Bitcoin by now. But we still see Bitcoin leading the crypto market in terms of market cap and no other Alt is even close to Bitcoin market cap. Bitcoin is still the king and will remain the king atleast for next 5 to 10 years.

No doubt if we talk about reserve.

But I won't deny the fact that there has been so many RWA that bring in tokenized stocks and precious metal. That to some extent is an adoption, I'm sure some money are being deployed in AAVE lending as well to get some juicy APY.
If for investment demanded by institutional bitcoin is king, for other niche such as RWA, etc. ETH win. Just different sets of niche that can also be considered institutional adoption tbh.

[Abiky]

No doubt if we talk about reserve.

But I won't deny the fact that there has been so many RWA that bring in tokenized stocks and precious metal. That to some extent is an adoption, I'm sure some money are being deployed in AAVE lending as well to get some juicy APY.
If for investment demanded by institutional bitcoin is king, for other niche such as RWA, etc. ETH win. Just different sets of niche that can also be considered institutional adoption tbh.

Well, ETH has greater flexibility in terms of programmability than Bitcoin. With smart contract features built-in, it's possible to build anything on top of ETH. Tokenized stocks and precious metals would surely increase demand for ETH in the long run. Only if they're deployed on the ETH blockchain network, of course. ETH has many L2 networks which offer fast and cheap transactions, so institutional investors will get more benefits with ETH than BTC alone (usability-wise).

For now, all eyes are on Bitcoin since it's the one coin that started this craze. Many are considering it to be the "next Digital Gold" due to its store of value properties. ETH is more akin to "Digital Oil", since without it, you cannot use ETH-based Web3 apps. Perhaps, institutional adoption for ETH will rise within a few decades from now. The future can't be predicted, so I'd hope for the best.

[passwordnow]

That makes sense, it certainly have spiked due to ERC20 tokens and until now, many of them still don't have their mainnet. And so, it's used for the gas fee and when it had became a PoS, it made even better for those who hold a lot of it. But I will still not compare these two, IMO they're both great as an asset and that adoption rate for ETH I think have peak and in the end, it's still bitcoin that will rise with its adoption due to the policies now being made for US' bitcoin strategic reserve. Because other countries will copy that reserve if it's from the US.

Not only that, but also it happens due ETF inflows and other things caught up their interest.

Eth has benefited a lot when Clarity act passed on US here is some information about this https://cryptodamus.io/en/articles/news/clarity-act-crypto-regulation-s-new-us-landscape-what-you-need-to-know

But same with what's happening before investor attention shift and Bitcoin will remain dominant again on many aspects.

Yep, that's where the shift will happen. Wherever the big players are in, the retailers are also going to follow. But with the institutions playing around with Ethereum, that gives them the confidence that they're also doing the right thing with their money if it is where the big investors are. The ETF inflows for ETH really became big because of how massively the institutions/brokers have put their attention in it. Although it's not going to be consistent at most times.

[nelson4lov]

A couple of weeks ago, I did say that institutional demand for ETH won't surpass that of bitcoin and I was right. When market was green, Bitcoin still had more inflows than ethereum and when the market got bad the last few weeks and shit hit the fan, ethereum could stand it's ground while bitcoin dropped. It dropped too. Only harder than Bitcoin and it was very disappointing to see. I don't think this changes in the near future because eth in itself currently have no fundamental value.

[brownn]

I don't think this changes in the near future because eth in itself currently have no fundamental value.

Why ? How it reached such high market cap then ?

[justdimin]

A couple of weeks ago, I did say that institutional demand for ETH won't surpass that of bitcoin and I was right. When market was green, Bitcoin still had more inflows than ethereum and when the market got bad the last few weeks and shit hit the fan, ethereum could stand it's ground while bitcoin dropped. It dropped too. Only harder than Bitcoin and it was very disappointing to see. I don't think this changes in the near future because eth in itself currently have no fundamental value.

Yeah, I could not find anything for what OP claims to back up. Still, there are investors who prefer altcoins for higher ROI than bitcoin investments, only in the initial days of few altcoins, such higher returns are possible and definitely not any more with ethereum. Ethereum's core fundamental thing is, being a platform of smart contract for tokens, which was an innovation in cryptos space but unfortunately now we have lots of other coins to provide similar smart contract feature which may drive ethereum obsolete in near future.

So, there could be lesser than chances for ethereum to remain attractive among ETF investors. Bitcoin's many fundamentals are unchanged where investors consider bitcoin as an asset and along with every halving, bitcoin's this fundamental value keeps increasing. So, there cannot be any chances for any other coin to beat bitcoin in terms of attracting new investors.

[nelson4lov]

I've seen somewhere that Ethereum has officially overtaken Bitcoin as the most held cryptocurrency among institutional treasuries.
Oh, here is the full article with stats btw: https://btcusa.com/ethereum-overtakes-bitcoin-in-institutional-digital-asset-treasuries/

The most likely case would be that their data is false and that's why they don't even list any proof to back their claim. Anyone can come up and write what they want. Without proof, it doesn't matter much.

For Digital Asset Treasuries (DATs), this DeFi Llama page is helpful: https://defillama.com/digital-asset-treasuries

When it comes to overall institutional holdings (ETFs + DATs) based on my observations, Total holding for Bitcoin should be 2-5x bigger than those of Ethereum.

~Snip

[[...] Bitcoin's many fundamentals are unchanged where investors consider bitcoin as an asset and along with every halving, bitcoin's this fundamental value keeps increasing. So, there cannot be any chances for any other coin to beat bitcoin in terms of attracting new investors.

A quick look at the ETFs data from the launch of both Bitcoin and Ethereum launches show that most net ETH ETF buyers will be underwater, so yeah, I agree

[malekbaba]

Is the institutional adoption higher in case of ETH compared to Bitcoin ? What can be the impact of this on future prices of both coins ?

People consider BTC as digital gold, macro asset. If we consider ETFs, BTC brought billions of dollars from instituitions. ETH ETFs also attract some investors but the side is much smaller. For traditional investor, BTC is the first choice and ETH is the second. For money, store of value, and mass adoption btc is the way to grab. For tech, tokenization and smart
 contract  eth is the first choice. Imo eth is the digital silver.
Just look at BTCD, one will get clear picture

[shinratensei_]

Is the institutional adoption higher in case of ETH compared to Bitcoin ? What can be the impact of this on future prices of both coins ?

People consider BTC as digital gold, macro asset. If we consider ETFs, BTC brought billions of dollars from instituitions. ETH ETFs also attract some investors but the side is much smaller. For traditional investor, BTC is the first choice and ETH is the second. For money, store of value, and mass adoption btc is the way to grab. For tech, tokenization and smart
 contract  eth is the first choice. Imo eth is the digital silver.
Just look at BTCD, one will get clear picture

In ETH the institutional investors contributes to the TVL. in BTC institutional investors buy BTC. We've got some tokenized stocks going and big whales locking billions in a lending platform.
It's like completely different niche for bitcoin and ethereum that I don't think it's comparable because institutional adoption isn't limited to just diversifying its fund to ETF.