Why Ethereum Is Still Underpriced
PLUS: Solana Dominates Chain Revenue in 2025
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In today's newsletter:
💡 Why Ethereum Is Still Underpriced
📣 BlackRock’s BUIDL hits $100M million in dividends and passes $2 billion in assets
📈 Solana Dominates Chain Revenue in 2025
Let’s dive in!
💡 Insight
Why Ethereum Is Still Underpriced
There’s a simple fact the market keeps underestimating: Ethereum never left the center of the on-chain economy.
Even as new L1s and rollups launched, activity exploded across chains, and hype moved around — ETH quietly remained the core asset everything else is built on.
The chart shows Ethereum’s market cap (yellow line) vs the total value locked (TVL) across protocols built on Ethereum — DeFi, staking, restaking, custody, stablecoins, and more.
These aren’t just random apps. They’re real businesses with actual economic activity. And they all depend on ETH as a core input.
Let’s do some back-of-the-napkin math:
TVL on Ethereum: ~$330B
Market cap of ETH: ~$350B
That’s just a 1.06x premium over the value of the economy ETH secures and powers.
Now compare that to:
AWS trades at ~7x revenue
Microsoft trades at ~13x earnings
Gold trades at a premium to any economic utility it provides
Meanwhile, ETH trades almost 1:1 with the activity it supports — and assumes zero future growth.
Why This Matters for Altcoin Investors
ETH is the base money of the Ethereum economy — the same way the dollar underpins global finance.
So:
When ETH is undervalued → altcoin valuations on Ethereum are probably lagging too
When restaking (EigenLayer), staking (Lido, Ether.fi), and L2s grow → ETH demand structurally increases
When new apps launch → they’re priced in ETH, not USD
Put simply: if you’re betting on altcoins that live inside the Ethereum economy, you’re also betting on ETH.
And right now, ETH looks cheap vs what it already anchors.
📣 Update
BlackRock’s BUIDL hits $100M million in dividends and passes $2 billion in assets
BlackRock's tokenized money market fund BUIDL has paid out $100 million in dividends since its launch in March 2024.
The fund, valued at over $2 billion, invests in short-dated U.S. Treasuries and cash equivalents, and is one of the largest tokenized cash products.
BUIDL tokens are used in crypto market infrastructure and as collateral, bridging traditional finance and blockchain technology.
📈 Signal
Solana Dominates Chain Revenue in 2025
Solana just claimed the #1 spot in total on-chain revenue for 2025 — earning a massive $1.3 billion, according to CryptoRank data.
That’s 2.5x more than Ethereum ($524M) and more than the next two chains combined (Hyperliquid + TRON).
Why this matters
Solana is no longer just a fast chain — it’s becoming the most profitable.
Revenue = demand for blockspace. Demand = users, apps, and real usage.
If you’re investing in altcoins, follow the money — the chains with the highest revenue are where capital, talent, and narratives tend to compound.
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Thanks for reading!
See you next time