18-4-2025 – Ethereum Weekly’s founder Evan Van Ness has sounded a cautionary note regarding Ethereum’s market prospects. The crux of his analysis centres on the critical distinction between traditional assets and monetary instruments.
Van Ness posits that Ethereum’s longevity hinges precariously on its classification within financial frameworks. Should the digital asset fail to secure recognition as a legitimate currency, he warns of potentially devastating consequences for its value proposition.
At the heart of his argument lies the traditional discounted cash flow methodology, a valuation tool widely employed in financial markets. Van Ness argues that applying this conventional metric to Ethereum, whilst disregarding its potential monetary premium, paints a particularly grim picture.
The implications, according to his analysis, extend beyond mere depreciation against established fiat currencies. More worryingly, such a scenario could trigger a broader decline relative to its digital counterparts in the cryptocurrency ecosystem.
