As cryptocurrency has matured into a seriously considered asset, Ethereum’s value has moved far beyond speculative trading. Now, many businesses are using Ethereum’s technology to build financial systems that could transform how capital markets, real estate, and asset ownership operate. While the Ethereum price USD is the main indicator of interest in ETH, Ethereum’s true value comes from its role as a base for tokenization, assets, and institutional finance.
Not Only a Token: Why Institutions See Ethereum as Infrastructure
For many companies, Ethereum isn’t just another cryptocurrency. It stands out as a programmable blockchain that supports smart contracts and decentralized applications (dApps). This quality makes it perfect for creating whole financial systems. Smart contracts automate financial processes, ensure compliance, and allow for programmable ownership.
As one article noted, “VanEck CEO Jan van Eck believes Ethereum will be the blockchain backbone for stablecoins, calling it the ‘Wall Street token.’” More and more, institutions see Ethereum as a way to get involved in the growing Web3 ecosystem through smart contracts, tokenized assets, or decentralized finance.
Because of these capabilities, Ethereum is becoming an essential layer in modern financial models. On-chain, you can track ownership, settlements, compliance, and liquidity.
Tokenized Real-World Assets (RWA): Making New Markets
Businesses use crypto to turn real-world assets into tokens, which is one of the most important applications. This means converting assets such as real estate, debt, bonds, or cash into digital tokens on the Ethereum blockchain.
RWA tokenization allows for partial ownership. Large or illiquid assets, such as real estate, fine art, or funds, can be split into smaller fractions, making these investments more accessible to people with smaller budgets.
Smart contracts on Ethereum can automate tasks such as distributing rental income in real estate, making interest payments on bonds, or disbursing dividends. Automated management enables institutions to allocate more time to strategic initiatives and less time to manual fund management.
Tokenized assets can actually reduce some of the friction found in traditional transfer processes by utilizing the blockchain’s transparent and immutable ledger. Businesses get to operate more efficiently and can reduce auditing teams in this model.
How ETH Leads to RWA
According to recent data, Ethereum already supports nearly ten times the total value of RWAs than the next most popular blockchain. Six of the top ten protocols that issue real-world asset tokens are built on Ethereum or its underlying Layer-2 networks.
Some firms have projected that the overall market for tokenized real-world assets could be worth up to $2 trillion by 2028, with the vast majority of on-chain activity taking place on Ethereum. These statistics show how valuable Ethereum is, making it more appealing for traditional finance institutions. This chain provides a reliable and popular platform that can meet compliance standards.
Institutional Treasuries and Corporate Ethereum Adoption
Enterprise adoption isn’t solely about tokenizing assets. Some public companies now hold ETH as part of their treasury strategy. For example, BitMine Immersion Technologies, a company that has historically focused on BTC mining, announced that it was shifting to ETH. As of 2025, BitMine holds millions of ETH, which is worth billions of dollars, as part of its treasury allocation. Other data shows that at least 26 institutions now have a combined 5.7 million ETH, which is a significant portion of their total supply.
This kind of adoption demonstrates institutions’ high confidence not just in ETH’s value, but in its broader utility. It putsEthereum in the position to be a strategic digital asset that’s directly tied to a real, functional network for enterprise finance.
Beyond Finance: Enterprises, Governance, and Blockchain Adoption at Scale
Tokenization and treasuries are just two parts of Ethereum’s ecosystem. Its infrastructure can handle a wide range of business needs, such as tracking the supply chain, settling trades, and making sure that people are who they say they are.
Enterprises and even governments are already exploring how blockchain-based solutions use Ethereum to create more efficient, auditable, and programmable systems. The Enterprise Ethereum Alliance (EEA) brought together major companies, including banks, financial institutions, and tech firms, to explore how businesses could use blockchain.
Today, that spirit of community and collaboration remains. Companies are selecting Ethereum for its ability to work with other systems and its solid developer support.
Challenges and What Institutions Should Think About First
Despite its promising technology and high adoption, using Ethereum for institutional systems has its own challenges. While tokenization and on-chain assets can improve transparency and compliance within a company, legal policies remain uncertain. Institutions should ensure they comply with local laws and compliance standards before issuing or trading tokenized assets.
If you want to keep a lot of ETH or tokenized assets, you need strict custody solutions, clear governance, and internal security. This is especially true for institutions that have only used traditional assets before. You might need to hire a whole new team to take care of the digital assets.
While Ethereum’s RWA ecosystem is growing rapidly, tokenized markets remain less developed than traditional capital markets. Real-world adoption by a broader audience will take time. Even so, many companies see these hurdles as negligible given the potential payoff of using modern crypto-based solutions.
What Ethereum’s New Role Could Mean
If the current momentum continues, Ethereum could become the backbone of the overall digital financial system. It supports assets, funds, debt, real estate, and even corporate treasuries entirely on-chain.
Cryptocurrency offers a mature, flexible, and highly adopted foundation for decentralized finance. For many companies, Ethereum has become a bridge between traditional operations and a more programmable financial future.
This article was written in cooperation with with Tom White