preCharge News CRYPTO — Stocks tied to the price of ether (ETH) surged on Wednesday, buoyed by renewed interest in tokenization and stablecoin innovation.

BitMine Immersion Technologies, a bitcoin miner that recently announced a pivot to hold ETH as its primary treasury reserve asset, soared by 20% and is now up over 1,000% since the announcement. Other companies following suit include:

• SharpLink Gaming, which initiated an ETH-based treasury strategy, rose more than 11%.
• Bit Digital, which exited bitcoin mining last week to focus on ETH staking and reserves, gained over 6%.

“We’re finally at the point where real use cases are emerging,” said Devin Ryan, head of financial technology research at Citizens, highlighting stablecoins as a gateway to broader adoption of tokenized assets.

ETH ETF Inflows and BlackRock’s Influence

Ethereum ETFs Rebound While Bitcoin Slows

As bitcoin ETFs broke a 15-day streak of inflows, ether ETFs drew in $40 million on Tuesday, led by BlackRock’s iShares Ethereum Trust. The activity marked a revival in ETH ETF interest after fears they were becoming “zombie funds.”

ETH itself climbed about 5% according to Coin Metrics, though it remains down 24% year-to-date.

Ethereum’s Role in Stablecoins and Tokenization

Smart Contracts Powering Digital Asset Transformation

Ethereum’s smart contract capabilities continue to position it as a foundational layer for real-world asset tokenization, including:

• Stablecoins like Tether (USDT) and USD Coin (USDC), both of which are issued on Ethereum.
• BlackRock’s tokenized money market fund, BUIDL (USD Institutional Digital Liquidity Fund), launched on Ethereum before expanding to other blockchains.

Fundstrat’s Tom Lee called Ethereum “the backbone and architecture” of stablecoins.

What Is Tokenization?

Tokenization involves creating digital representations of securities, real-world assets, or currencies on a blockchain. Holders of these tokenized assets do not have legal ownership of the underlying asset, but rather a digital proxy of its value.

Robinhood, Circle, and the Policy Shift Driving Demand

Robinhood Opens Tokenized U.S. Stock Trading in Europe

Interest in ETH-related assets surged further after Robinhood announced plans to offer tokenized U.S. stocks and ETFs across Europe. This follows June’s growth in stablecoin momentum, fueled by:

• Circle’s IPO filing
• Senate passage of the GENIUS Act, a proposed stablecoin regulation bill

Ethereum Faces Challenges Amid Long-Term Promise

Identity Crisis and Competition from Solana

Despite this upswing, Ethereum still grapples with:

• An unclear value proposition
• Declining revenue post-upgrades
• Mounting competition from Solana
• Continued market volatility fueled by global uncertainty

As it approaches its 10th anniversary in July, ETH is still down approximately 75% from its all-time high.

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Associated Press, CNBC News, Fox News, and preCharge News contributed to this report.