Whereas the SEC sought to qualify Ethereum as a safety, JP Morgan analysts argued that Lido’s declining market share might defend Ethereum from being categorised as a safety.
In response to The Block, JP Morgan analysts additionally famous that along with the declining market share of the biggest liquid staking protocol Lido, Ethereum’s newest Dencun replace is one other constructive improvement for the ETH community and ecosystem.
JP Morgan analysts led by Nikolaos Panigirtzoglou said the next within the report:
“Lido’s share of Ethereum has fallen from a couple of third a yr in the past to a couple of quarter now.
“This could scale back considerations about focus on the Ethereum community, thus rising the probabilities of Ethereum qualifying as a safety sooner or later.”
Moreover, evaluating the consequences of the Dencun improve, analysts famous that the Dencun improve considerably reduces transaction prices for Ethereum Layer 2 networks and will increase the variety of transactions and whole worth locked.
Analysts just lately said that the subsequent main improve in Ethereum’s roadmap is Petra, which is deliberate to be applied later this yr, and stated that this improve will carry extra advantages to Ethereum.
*This isn’t funding recommendation.
