Wednesday, December 31, 2025

Ethereum Update: Former BlackRock Executive Predicts 10X Growth in TVL by 2026

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Key Insights:

  • As per the latest Ethereum crypto news data, the total value locked in the Ethereum ecosystem could hit ten-fold in 2026.
  • According to Sharplink Gaming CEO, the TVL’s rise will mainly be thanks to multiple sectors and investors doubling down on their exposure to ETH.
  • He noted that tokenization will expand from individual funds, stocks, and bonds to entire fund complexes.

In an exciting development within the Ethereum ecosystem, Joseph Chalom, co-CEO of Sharplink Gaming, recently highlighted promising predictions regarding the future of Ethereum. As adoption rates soar across various industries and institutional investors increase their exposure to Ethereum (ETH), the total value locked (TVL) could potentially skyrocket tenfold by 2026. This represents a significant shift in the perception and utility of Ethereum in the broader financial landscape.

Sharplink Gaming, ranked as the second-largest public Ethereum treasury company, currently holds an impressive 797,704 ETH, valued at approximately $2.33 billion. Such substantial holdings underscore the growing confidence in Ethereum’s trajectory and its essential role in the ever-evolving landscape of digital assets.

Chalom anticipates robust growth in the stablecoin market, forecasting an expansion from its existing $308 billion valuation to about $500 billion within a year—translating to a remarkable 62% increase. This anticipated growth indicates a rising reliance on stablecoins, many of which operate on the Ethereum network, further solidifying Ethereum’s dominance in the crypto space. At present, Ethereum accounts for around 54% of all stablecoin activity, positioning it as a significant player in the market and suggesting that this increasing activity could contribute to a substantial rise in its total value locked.

Ethereum News: Chalom Forecasts Tokenized Real-World Assets Market to Hit $300 Billion by 2026

Chalom’s insights indicate that the market for tokenized real-world assets is poised for exponential growth, with expectations that it could reach a staggering $300 billion by 2026. This forecast stems from the increased tokenization of various financial products, evolving from individual funds, stocks, and bonds to entire fund complexes. Such a transformation signals a maturation of the market and reflects growing institutional interest.

Notably, this surge is attributed to the heightened engagement from major financial institutions, including JPMorgan, Franklin Templeton, and BlackRock, all of which have amplified their activity in the past year. This institutional backing not only legitimizes the market but also is likely to attract further investors looking to capitalize on potential opportunities in tokenized assets.

As total value locked experiences rising figures, it often serves as a barometer of increasing interest in a network. Currently, Ethereum boasts a TVL of around $68.2 billion, a timely depth of engagement that can significantly influence market sentiment. However, caution lingers with analysts like Benjamin Cowen expressing concerns that Ethereum may face challenges in reaching new highs in the upcoming year, especially under the current market conditions shaped by Bitcoin’s performance.

Additionally, the CEO predicts that Ethereum holdings and tokenization activities, particularly among sovereign wealth funds, will expand five to tenfold by the next year. This anticipated growth indicates a broader acceptance and integration of cryptocurrencies into traditional financial strategies, potentially paving the way for a remarkable transformation in investment paradigms by 2026.

Chalom emphasizes that the year 2026 holds the promise of transformative developments within the Ethereum ecosystem as competitive dynamics intensify. Previously, many financial allocators opted for a cautious approach, often avoiding crypto investments. However, as more institutions enter the space, this trend is expected to shift.

Furthermore, the prediction that on-chain AI agents and prediction markets will gain mainstream traction reflects an evolving landscape where technology converges with finance. This convergence is anticipated to enhance activity within the Ethereum ecosystem, adding significant value and innovative capabilities.

Ethereum Crypto Network 2026 Upgrade

Simultaneously, discussions surrounding Ethereum’s future upgrades are gaining momentum, particularly the anticipated Glamsterdam upgrade slated for 2026. Following the recent Fusaka update, which raised block gas limits to 60 million, Glamsterdam represents a significant leap forward in Ethereum’s quest for greater Layer 1 scalability.

A pivotal component of this upgrade is the enshrined Proposer-Builder Separation, which aims to mitigate risks associated with validator concentration—an essential feature for enhancing network security. Alongside this, the introduction of block-level access lists is set to lower execution costs while enabling parallel processing of transactions, thereby improving throughput without sacrificing the principles of decentralization.

Community estimates suggest that gas limits could see an increase to 200 million, a development that would drastically enhance Layer 1 capacity. Additionally, the Hegota fork will introduce Verkle Trees, a crucial upgrade aimed at directly addressing the pressures of state growth within the Ethereum network.

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