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ETH Becoming Institutional MONEY🚀Ethereum Staking Skyrockets · The Paul Barron Crypto Show

• 0:00
  Speaker 1: Is eth money. Today, we're going to break it down
• 0:02
  Speaker 1: for you. Get into the deep dive. It's gonna be
• 0:04
  Speaker 1: a good one. Let's just jump right into it. I
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  Speaker 1: into it, guys. All right, let's jump over to a
• 0:45
  Speaker 1: few points. I want to lead off with a clip,
• 0:47
  Speaker 1: and this first clip is Tom Lee and he's talking
• 0:51
  Speaker 1: about software stocks and ethereum and how they correlate.
• 0:55
  Speaker 3: Take a look, software stocks have bottomed and as you know,
• 0:59
  Speaker 3: software stocks have been highly correlated to bitcoin. We added
• 1:05
  Speaker 3: software to our top sector picks. Ether's exiting along consolidation
• 1:10
  Speaker 3: consolidating for five years. The second consolidation that happened in
• 1:15
  Speaker 3: Ethereum ended with a fifty four x. So I think
• 1:17
  Speaker 3: this third consolidation is going to be pulled up because
• 1:21
  Speaker 3: of tokenization and agentic AI. The value of the layer one,
• 1:26
  Speaker 3: the l one was equal to the size of the
• 1:29
  Speaker 3: token ized market. Okay, so if this math holds, then
• 1:35
  Speaker 3: maybe Ethereum is a twenty five x from here.
• 1:38
  Speaker 1: All right, so looking at the one he's talking about
• 1:41
  Speaker 1: token agentic, But really what we're talking about is the
• 1:45
  Speaker 1: move to institutional and that I think is the narrative
• 1:48
  Speaker 1: that you have to look at now. Kevin O'Leary also
• 1:51
  Speaker 1: was talking about enterprise in general and what this might
• 1:55
  Speaker 1: look like also at the event, let's take.
• 1:57
  Speaker 4: A look who is going to emerge as the chain
• 2:02
  Speaker 4: that gets adopted into the S and P five hundred.
• 2:05
  Speaker 4: We've been talking about blockchain adoption into enterprise for fifteen years.
• 2:12
  Speaker 5: Fifteen years.
• 2:14
  Speaker 2: I mean, you could argue that.
• 2:14
  Speaker 4: Ethereum is being used for transactions, certainly for stable coin
• 2:17
  Speaker 4: it is, but it's not widely adopted within the S
• 2:21
  Speaker 4: and P five hundred for contract management, inventory management, logistics management,
• 2:26
  Speaker 4: which is essentially software when you think about it.
• 2:29
  Speaker 5: Now, software stocks got killed.
• 2:30
  Speaker 2: By AI this year. That's a big theme.
• 2:32
  Speaker 4: But somebody out there, and I'm mark my words, at
• 2:36
  Speaker 4: this conference, someone's going to come out and say, Hi,
• 2:39
  Speaker 4: I just closed this S and P five hundred company.
• 2:42
  Speaker 4: I just closed this one in this sector and slowly
• 2:46
  Speaker 4: standardizing on a chain that's valuable.
• 2:52
  Speaker 1: Well, to do that, you're going to need one major thing,
• 2:54
  Speaker 1: and that is going to be the developer stack. As
• 2:57
  Speaker 1: no software builds without a developer core.
• 3:00
  Speaker 2: If you look at.
• 3:00
  Speaker 1: The current ecosystem of the monthly active developers right here,
• 3:05
  Speaker 1: the Ethereum chain is by far the winner, and this
• 3:08
  Speaker 1: number right here is just Ethereum maychain. Go in and
• 3:12
  Speaker 1: look at the L two's guys, there's polygon base.
• 3:14
  Speaker 2: I mean you kind of take a look at all
• 3:16
  Speaker 2: of these.
• 3:17
  Speaker 1: And the point is is that the explosive nature of
• 3:20
  Speaker 1: where Ethereum is going is maybe dead on to what
• 3:24
  Speaker 1: Kevin O'Leary is. He just don't know, he doesn't know
• 3:26
  Speaker 1: it yet that this is actually happening. If you look
• 3:28
  Speaker 1: at Solana, they also just overtook Ethereum in terms of
• 3:32
  Speaker 1: new developers sign up.
• 3:34
  Speaker 2: So that's good.
• 3:34
  Speaker 1: This is the biggest news in the shift for Solana
• 3:36
  Speaker 1: that we've seen, and I think this is the narrative
• 3:39
  Speaker 1: that we are going to see in all of blockchain,
• 3:42
  Speaker 1: especially once clarity gets through and there are some rules
• 3:46
  Speaker 1: of the road, the next layer is going to be institutional.
• 3:50
  Speaker 1: And also Solana is surpassing Ethereum in hobbyist developers.
• 3:54
  Speaker 2: Not that that's a major thing.
• 3:56
  Speaker 1: But you could see some fairly big activities start to
• 4:00
  Speaker 1: grow in this area as well, because once something gets
• 4:02
  Speaker 1: really kind of mainstream, and Salona I think is now
• 4:04
  Speaker 1: getting its first win at that, it definitely opens up
• 4:08
  Speaker 1: a big future down the road. Now, though we have
• 4:12
  Speaker 1: seen other chains talk about enterprise, Kevin O'Leary actually breaks
• 4:18
  Speaker 1: down one that we've talked about a lot here on
• 4:20
  Speaker 1: this show, and he's not very favorable about it.
• 4:23
  Speaker 2: Take a look, and you told.
• 4:25
  Speaker 5: Me in a previous interview that you made a bit
• 4:26
  Speaker 5: on Hbar.
• 4:27
  Speaker 6: He told me after that that you sold almost all
• 4:29
  Speaker 6: your crypto positions.
• 4:31
  Speaker 5: About all, not all, almost all.
• 4:33
  Speaker 7: I was at Hyderic Khan and they really do have
• 4:36
  Speaker 7: an enterprise narrative. There are companies like McLaren, Toyota, FedEx.
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  Speaker 4: But imagine this challenge. Nobody knows, nobody cares. Put on CNBC,
• 4:49
  Speaker 4: put on Al Jazeera, put on BBC, put on anything.
• 4:52
  Speaker 4: Every tenth time the ticker shows up, it's eighth. They
• 4:55
  Speaker 4: pay nothing. What's that worth to that, you know, to
• 4:58
  Speaker 4: those foundations between two hundred and three hundred and fifty
• 5:03
  Speaker 4: million if they were just going to buy that space.
• 5:06
  Speaker 4: So whoever you are and you've got a great story,
• 5:10
  Speaker 4: who cares?
• 5:11
  Speaker 5: How are you going to get it out there?
• 5:13
  Speaker 4: Nobody cares?
• 5:15
  Speaker 1: Well in distribution, Listen, the distribution angle has been a
• 5:20
  Speaker 1: challenge for all blockchains and it's going to continue, I think,
• 5:23
  Speaker 1: to be a challenge for all blockchains. Most of the time,
• 5:25
  Speaker 1: it's just in market cap. And that's why Ethereum sits
• 5:28
  Speaker 1: there at the top. Look at this right here. This
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  Speaker 1: is the Enterprise Ethereum alliance. This is the treasury being
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  Speaker 1: deployed now into institutional staking. Essentially, this is the Microsoft component,
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  Speaker 1: which again goes back to the S and P five
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  Speaker 1: hundred in the top mag seven you name it all
• 5:43
  Speaker 1: building within the eth ecosystem. Further into that, look at
• 5:47
  Speaker 1: the launch members right there and you can kind of
• 5:50
  Speaker 1: see this is all the big voice right there's Microsoft Accenture, BBVA.
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  Speaker 1: He would recognize these names for sure until JP Morgan
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  Speaker 1: so on. What makes this also a good narrative is
• 6:02
  Speaker 1: that there's so much demand.
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  Speaker 2: Look at the queue. Let me kind of zoom in
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  Speaker 2: on that right there.
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  Speaker 1: This is the wait time for staking by institutional staking demand,
• 6:09
  Speaker 1: so almost eighty days running out here at its high.
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  Speaker 2: So that's another narrative.
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  Speaker 1: I want to go to a clip real quick because
• 6:16
  Speaker 1: this will get you into a little bit of understanding
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  Speaker 1: the shift into focusing on staking.
• 6:21
  Speaker 2: And this comes from Tom Leek. Take a look.
• 6:24
  Speaker 3: We're deciding perhaps we want to accumulate at a somewhat
• 6:28
  Speaker 3: slower pace because we launched our commercial service at the
• 6:31
  Speaker 3: end of March. We are now the largest single staking
• 6:34
  Speaker 3: operation in the world and we hope to increase that.
• 6:38
  Speaker 3: It's really because it represents the future of money.
• 6:42
  Speaker 1: So one of the other things that they were able
• 6:44
  Speaker 1: to do is onboard one of the most difficult that
• 6:46
  Speaker 1: being micro strategy. Here's an example of the variable x stock,
• 6:51
  Speaker 1: which is token I securities on ether setting in there.
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  Speaker 1: If you look at that right there ethereum there Salona
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  Speaker 1: that's the other slice of the pie. This is one
• 6:58
  Speaker 1: of many out there. This is the number of holders
• 7:01
  Speaker 1: that are continuing to fly. And I think this, Yes,
• 7:03
  Speaker 1: it's very early, people would say, Paul, it's not many. Yes,
• 7:06
  Speaker 1: it's very early. But the point is is is these
• 7:09
  Speaker 1: kinds of moves start to accelerate, especially as we start
• 7:13
  Speaker 1: to see the staking narrative building within ethereum. Here's Michael
• 7:17
  Speaker 1: Saylor even talking about this, and I don't think I've
• 7:20
  Speaker 1: seen him this excited about anything before.
• 7:23
  Speaker 2: Take a look.
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  Speaker 8: Now, I get to the most interesting part of my
• 7:26
  Speaker 8: presentation digital money, and that's what stretch represents.
• 7:30
  Speaker 5: It is an external source of power.
• 7:33
  Speaker 8: This is financial fuel for DeFi and financial fuel for
• 7:36
  Speaker 8: digital assets like kerosene. There's an explosion of innovation in
• 7:42
  Speaker 8: the DeFi economy right now. You can see Apex or Medica, Kraken,
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  Speaker 8: Ondo Pendle. They're moving faster than trad FI innovators. The
• 7:52
  Speaker 8: DeFi innovators seem to go about ten times faster. We've
• 7:55
  Speaker 8: gone from nothing to two hundred and seventy million just
• 7:58
  Speaker 8: in the DeFi space.
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  Speaker 5: This entire thing is exploding.
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  Speaker 8: Why am I excited Because I think digital credits the
• 8:05
  Speaker 8: bridge between bitcoin and crypto. The way we see it
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  Speaker 8: is stretches a platform to create apps. You don't want
• 8:11
  Speaker 8: to have that collateral tied up for a year in
• 8:14
  Speaker 8: a prediction market or in a DeFi or a futures trade.
• 8:18
  Speaker 8: But wouldn't you like a yield coin that looks like
• 8:21
  Speaker 8: a stable coin that pays you. STRETCH creates yield coins.
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  Speaker 8: You see an explosion and enthusiasm to tokenize this, but
• 8:30
  Speaker 8: there's a lot left to be built. I think the
• 8:33
  Speaker 8: people in this room is how we take digital credit
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  Speaker 8: to the entire world, in every part of the ecosystem,
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  Speaker 8: and it should power the entire digital assets industry to
• 8:43
  Speaker 8: the next ten x or one hundred x development.
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  Speaker 5: I've been really excited.
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  Speaker 8: Working with all of you so far and I look
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  Speaker 8: forward to what's to come.
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  Speaker 5: Thank you for your time today.
• 8:53
  Speaker 1: So if you look at what he's talking about that
• 8:55
  Speaker 1: in first of all, this is unbelievable that we're seeing
• 8:58
  Speaker 1: Michael Saylor go into this detail about growing and he's
• 9:02
  Speaker 1: really growing within the eth ecosystem because this is what's
• 9:05
  Speaker 1: powering all of what STRETCH is doing. So is the
• 9:08
  Speaker 1: real money eth, not Stretch. So just think about that.
• 9:12
  Speaker 1: I want to go over to RWA's now, because this
• 9:14
  Speaker 1: is another major growth theory that we will see again
• 9:17
  Speaker 1: back on eight, and this is Kevin O'Leary talking about
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  Speaker 1: how rbaas may grow.
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  Speaker 2: Take a look.
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  Speaker 4: The stuff that was fictionally created out of digital images
• 9:29
  Speaker 4: did not work because there was no hard asset underneath it.
• 9:34
  Speaker 4: Monkeys and all that stuff. But I think it was fun,
• 9:37
  Speaker 4: but it wasn't investible, it wasn't institutionalized.
• 9:39
  Speaker 2: It was just poo poo. If it was fun, poo poot.
• 9:43
  Speaker 2: But it's gone.
• 9:45
  Speaker 1: All right, So he might be right there, but he
• 9:48
  Speaker 1: also could be wrong, and Kevin has been wrong before
• 9:52
  Speaker 1: many times.
• 9:53
  Speaker 2: If you look at what and if he is.
• 9:56
  Speaker 1: Wrong, and you kind of compare this to board ape,
• 9:58
  Speaker 1: this of course being measured in eth his money.
• 10:01
  Speaker 2: And you look.
• 10:01
  Speaker 1: At just where we are on year to date right
• 10:03
  Speaker 1: here over the last few months, board apes moving up
• 10:06
  Speaker 1: obviously in eth, Eth is money. Now you compare that
• 10:09
  Speaker 1: to bitcoin. This is the year to date on Bitcoin, yes,
• 10:12
  Speaker 1: rising but definitely outperforming overall. There's pudgie penguins also measured
• 10:16
  Speaker 1: in eath. So these narratives aren't necessarily dead if eth
• 10:21
  Speaker 1: is also growing, So it really is about attention and
• 10:25
  Speaker 1: I think these projects and many others have been able
• 10:27
  Speaker 1: to do that. And even O'Leary was talking about the
• 10:30
  Speaker 1: attention life cycle that's out there and that you need
• 10:34
  Speaker 1: for these chains to be able to elevate to this
• 10:36
  Speaker 1: next level. I want to go to one other point here,
• 10:39
  Speaker 1: and this is a clip of vivek Rahman who's talking
• 10:41
  Speaker 1: about how institutions will use ETH as money.
• 10:45
  Speaker 2: Take a look.
• 10:46
  Speaker 6: It literally has the potential to become a new type
• 10:49
  Speaker 6: of money. The path to get there is eth transitioning
• 10:52
  Speaker 6: from being value as a tech stock to a money
• 10:55
  Speaker 6: and that's an asymmetric bet. In this world of tokenized assets,
• 10:59
  Speaker 6: you need an asset that's money like that can be
• 11:03
  Speaker 6: used globally, that doesn't have that counterparty ross, that doesn't
• 11:06
  Speaker 6: have that offtion anchor. And that's where that's where eth
• 11:07
  Speaker 6: It's east first found his product market fit. In the
• 11:10
  Speaker 6: whole defight goest every crypto asset is it's not paired
• 11:13
  Speaker 6: against USDC, it's paired against eth art started to rise.
• 11:16
  Speaker 6: Digital art is paid against EATS. It's the most common
• 11:19
  Speaker 6: trading parent. It's the most common collateral. You've seen the
• 11:22
  Speaker 6: initial versions of its utility, but that's just by the
• 11:24
  Speaker 6: cryptonity of players. Imagine when the Wall Street players start
• 11:27
  Speaker 6: to realize that too, and say, wait, this is actually
• 11:29
  Speaker 6: an alternative trading pair against the world's assets. If you
• 11:32
  Speaker 6: want to go between USD and japan Japanese yen and
• 11:36
  Speaker 6: don't want counterparty rius, you can have EAT sitting in
• 11:38
  Speaker 6: the middle of the trading pair. So this is how
• 11:40
  Speaker 6: you can actually start to see the institutional money pieces
• 11:42
  Speaker 6: play out.
• 11:43
  Speaker 2: But it's early for it, all right, So he is.
• 11:46
  Speaker 1: Right early adoption definitely, at least by the crypto natives.
• 11:49
  Speaker 1: But when you look at adoption on Wall Street, then
• 11:53
  Speaker 1: you have to compare the power of.
• 11:55
  Speaker 2: What eth is.
• 11:56
  Speaker 1: There's the current market cap and volume volume continues to
• 11:59
  Speaker 1: fly even close to that of Bitcoin, and I think
• 12:03
  Speaker 1: that is the narrative that Wall Street is going to
• 12:05
  Speaker 1: be looking at, which gets back to the whole point.
• 12:08
  Speaker 1: So let's take a look at the exchange reserve. This
• 12:11
  Speaker 1: is all exchanges and I'm on Bitcoin right now, and
• 12:13
  Speaker 1: you can kind of see right there the exchange reserve
• 12:16
  Speaker 1: been going down.
• 12:16
  Speaker 2: Price is also kind of moving up right there.
• 12:20
  Speaker 1: You look at ethereum, this is the first time we've
• 12:22
  Speaker 1: seen it drastically moving down, which is really what's happening now,
• 12:27
  Speaker 1: and price is now starting to move, so it's splitting.
• 12:29
  Speaker 2: So this again goes.
• 12:31
  Speaker 1: Back to the whole narrative where ETH really starts to
• 12:34
  Speaker 1: control the issue of value, and if you look at
• 12:37
  Speaker 1: the ability to do that, issuance is going to be
• 12:40
  Speaker 1: a big part of this. I want to go to
• 12:41
  Speaker 1: a clip here where Ethereum is exploring issuance to boost
• 12:46
  Speaker 1: the moneiness for ETH.
• 12:48
  Speaker 7: Take a look, Scurtney. Today we have an issuance of
• 12:50
  Speaker 7: a europon eight percent post burn. That's roughly the current
• 12:55
  Speaker 7: issuance off bitcoin. But do know that we could have
• 12:59
  Speaker 7: this same security property by only issuing zero point five
• 13:03
  Speaker 7: So that's zero point three less issue that.
• 13:06
  Speaker 5: We could do.
• 13:07
  Speaker 7: And there is also the market ability in moneyness climbing
• 13:10
  Speaker 7: really fast because we have large DAT and large ETF,
• 13:14
  Speaker 7: large institutions that are bringing in more IF at stake
• 13:18
  Speaker 7: because they are in competition with each others. Having too
• 13:20
  Speaker 7: many IF at stake is removing IF from our current
• 13:24
  Speaker 7: product market feit, which is defied because you get three
• 13:27
  Speaker 7: percent on staking and you get one point four one
• 13:31
  Speaker 7: point five ish when you're on AVEY. There's there's a
• 13:34
  Speaker 7: clear mismatch here, and we have engineered this mismatch and
• 13:37
  Speaker 7: we are continuing to push people to go at stake
• 13:39
  Speaker 7: with this mismatch. So every time we change the issuance
• 13:44
  Speaker 7: in a more restrictive way, the market paid attention. Yeah, yeah,
• 13:47
  Speaker 7: more scarcity. That's interesting, I value the asset more.
• 13:50
  Speaker 2: So there you have it.
• 13:51
  Speaker 1: I mean, this gets into the whole narrative of why
• 13:54
  Speaker 1: Tom Lee is really shifting right here. And he says
• 13:57
  Speaker 1: that the staking issuance for e should reform the actual
• 14:00
  Speaker 1: cost of staking securities models.
• 14:02
  Speaker 2: So we are not opposed to.
• 14:03
  Speaker 1: The idea that staking issuance rate could actually change.
• 14:07
  Speaker 2: So this is something that I think as.
• 14:10
  Speaker 1: We start to see the adoption of institutional the movement
• 14:14
  Speaker 1: that we're seeing within the theorem right now, obviously clarity
• 14:17
  Speaker 1: will play into this all of this going forward and
• 14:21
  Speaker 1: the narrative that we're starting to see in DeFi even
• 14:23
  Speaker 1: if you look at the products like Stretch and others
• 14:25
  Speaker 1: that will start to utilize this, it gets into exactly
• 14:29
  Speaker 1: the narrative we're talking about, and that is Eth's money.
• 14:38
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• 14:41
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• 14:44
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