What are the pros and cons of long-term investing in Ethereum?

Analysts from the research company Bernstein named the advantages and disadvantages of long-term investments in Ethereum compared to investments in Bitcoin.

Companies that buy ETH can lock their coins in exchange for a reward, currently up to 3,25% per annum. In this case, they will receive an additional source of stable income and thus increase their income. Bitcoins, on the other hand, are stored as dead weight on the balance sheet of enterprises and do not affect the amount of their revenue in any way, but only bring unrealized profit if the coin’s value increases.

Top 5 Services by ETH Staking Income

But staking Ethereum carries the following risks:

• Liquidity, because sometimes you have to wait several days for ETH to be unlocked;
• Cybersecurity, as cryptocurrency staking platforms can be hacked.

Among the organizations that have taken the risk of allocating large sums to buy Ethereum are digital asset mining company BitMine Immersion and marketing firm SharpLink Gaming, which hold ETH worth $2 billion and $1,3 billion, respectively. According to Bernstein, these companies are betting on эфириум may be justified, since the release of a large number of stablecoins and tokenized assets in the ETH network will inevitably lead to an increase in the cryptocurrency rate.

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