Bitwise Executive: Treasury Company Solves Ethereum Narrative Dilemma

BlockBeats news, on July 31, according to Cointelegraph, Bitwise Chief Investment Officer Matt Hougan stated that Ethereum treasury companies and holdings companies are packaging this digital asset in a way that is easier for traditional investors to understand, thus addressing Ethereum’s “narrative dilemma” and attracting more capital, accelerating its adoption. In an interview, Hougan pointed out that Ethereum has always struggled to clarify its revenue model for traditional financial investors until its native token Ether (ETH) was wrapped into a structure similar to a “stock shell.” He explained: “Over the past few years, from a valuation perspective, ETH has faced a problem that Wall Street cannot find a clear answer to why it is valuable. Is it a store of value? Is it the scarcity brought by the burn mechanism? Is it a source of income? Or is it the yield from staking? No one can say clearly. But if you take $1 billion of ETH and put it into a company and use it for staking, it will immediately start generating returns. Investors are very familiar with companies that can generate returns.”