• Advertise
  • Submit a Press Release
NewsBTC
Bitcoin & cryptocurrency news today, price & technical analysis
Price & Market
Cap Data from
Nomics Logo
  • News
    • Bitcoin
    • Ethereum
    • Ripple
    • Cardano
    • Tezos
    • EOS
    • Chainlink
    • Sponsored
    • Press Releases
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Education
    • Accepting Bitcoin payments
    • Using Bitcoin
    • What is Bitcoin Mining
    • How to Trade Bitcoin
    • How to Buy Bitcoin
    • Digital Currency Exchange
    • Proof of Existence
    • Is Bitcoin legal?
    • Bitcoin Books
  • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
  • TradeeToro
  • Gamble +Try
No Result
View All Result
  • News
    • Bitcoin
    • Ethereum
    • Ripple
    • Cardano
    • Tezos
    • EOS
    • Chainlink
    • Sponsored
    • Press Releases
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Education
    • Accepting Bitcoin payments
    • Using Bitcoin
    • What is Bitcoin Mining
    • How to Trade Bitcoin
    • How to Buy Bitcoin
    • Digital Currency Exchange
    • Proof of Existence
    • Is Bitcoin legal?
    • Bitcoin Books
  • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
  • TradeeToro
  • Gamble +Try
No Result
View All Result
NewsBTC
No Result
View All Result
Price & Market
Cap Data from
Nomics Logo
Home Cryptocurrency news Ethereum

Ethereum On Pace to Settle Over $1 Trillion in Transactions in 2020—Analyst

Joseph Young by Joseph Young
4 months ago
in Ethereum
Reading Time: 2min read
Ethereum On Pace to Settle Over $1 Trillion in Transactions in 2020—Analyst
Advertisement

The Ethereum blockchain network is on track to settle over $1 trillion worth of transactions in 2020. According to the data from Messari and CoinMetrics, the network settled $989 billion in value year-to-date.

Julien Bouteloup, a decentralized finance (DeFi) security auditor and developer, said:

“Ethereum is now the dominant settlement layer in crypto and is on pace to settle over $1 trillion in 2020. ETH took over BTC in no time.”

Comparing Ethereum to Bitcoin is difficult because the latter is a store of value and a currency. In contrast, Ethereum is a smart contracts blockchain protocol that processes many types of data alongside transactions.

5 BTC + 300 Free Spins for new players & 15 BTC + 35.000 Free Spins every month, only at mBitcasino. Play Now!

Still, the data shows the rapid growth rate of Ethereum and the impact of DeFi on smart contract blockchains.

ethereum

Bitcoin versus Ethereum in value settled. Source: Messari, CoinMetrics

The Large Effect of DeFi on Ethereum is Noticeable

2020 has been the year of DeFi, at least from June to September. Following the launch of Compound’s COMP token and Yearn.finance’s YFI token, the DeFi market exploded.

The rise of governance tokens fueled a new DeFi cycle. Consequently, more users started to use decentralized exchanges like Uniswap, moving onto decentralized applications.

Decentralized applications require users to pay a transaction fee every time a piece of data gets processed. As an example, let’s say a user buys 1 ETH using 408 Tether (USDT) on Uniswap. The buy order has to be processed on the Ethereum blockchain network so it is registered as a transaction.

As many people began to use Uniswap and other decentralized exchanges, the demand for Ethereum began to soar. Since the number of daily transactions on the blockchain started to rise, naturally, the value transferred through Ethereum began to rise in tandem.

In the past two months, following the correction of the DeFi market, the Ethereum blockchain has slowed down slightly. Daily active users have declined and the sum of fees spent per day has also slipped.

But, over the longer term, particularly if the DeFi cycle returns, analysts anticipate the Ethereum blockchain to become more active again

ETH 2.0 and Staking Would Further Buoy Overall Sentiment

A major roadblock in the latest DeFi cycle was the inability of the Ethereum blockchain network to efficiently process a high number of transactions.

As such, as the ETH 2.0 network upgrade materializes and the DeFi cycle returns, Ethereum would likely begin settling more value.

Eric Wall, the CIO at Arcane, said the environmental argument surrounding mining could also benefit ETH as it moves onto staking. He said:

“Ethereum will ride massively on the “it’s an environmental crypto that doesn’t waste as much electricity as a country the size of Ireland”-meme. True or not, no amount of education is going to stop this, regardless of how ETH2 really progresses.”

The daily price chart of Ethereum. Source: ETHUSD on TradingView.com
Tags: ethereumethusdETHUSDT
TweetShare
Nexo Logo
BitStarz Player Lands $2,459,124 Record Win! Could you be next big winner? Win up to $1,000,000 in One Spin at CryptoSlots
Joseph Young

Joseph Young

Joseph is a web developer and designer, writer and a passionate musician who loves to travel often. He's worked as a researcher for a number of venture capital firms and as a freelancer designer for resorts and corporations in Korea and the Philippines.

Related Posts

Ethereum, ETHUSD, ETHBTC, ETHUSDT, cryptocurrency

2 Reasons Why Ethereum Could Reclaim Record Highs Above $2,000

6 days ago
Ethereum (ETH/USD) Falls 26% From Historic High; What’s Next?

Ethereum (ETH/USD) Falls 26% From Historic High; What’s Next?

7 days ago
Ethereum

Analyst Explains Why Ethereum (ETH) Could Hit $5,000 in 2021

2 weeks ago
Ethereum Triangle Breakout Shifts Price Target to Over $2,000

Ethereum Triangle Breakout Shifts Price Target to Over $2,000

4 weeks ago
Ethereum, ETHUSD, ETHBTC, ETHUSDT, cryptocurrency

Ethereum Nears All-Time High Despite Alarming Bearish Signals

4 weeks ago
Highly Anticipated Ethereum Fee Model Upgrade is Expected in 2021

Highly Anticipated Ethereum Fee Model Upgrade is Expected in 2021

1 month ago

Premium Partners

Top Brokers

eToro

eToro

Review · Visit
Evolve Markets

Evolve Markets

Review · Visit
ArbiSmart

ArbiSmart

Review · Visit
PrimeXBT

PrimeXBT

Review · Visit
Moneta Markets

Moneta Markets

Review · Visit

Top Casinos

BitStarz

BitStarz

Review · Visit
mBit

mBit

Review · Visit
CryptoGames

CryptoGames

Review · Visit
Bonusfinder DE

Bonusfinder DE

Review · Visit
Bspin

Bspin

Review · Visit
Wolf Bet

Wolf Bet

Review · Visit

Top Sportsbooks

1xBit

1xBit

Review · Visit

Press Releases

What Will Happen to Oil Production and Distribution in 2021, and How Can You Make a Profit on It

February 28, 2021

Bitcoin Gaming Platform FreeBitco.in Acquires 3.75 Billion FUN Tokens

February 26, 2021

60-Minute IFO, 187 Times Over-Raised, 40 Times the Price, 98 Million US Dollar Marketcap: Berry Data Has Become a Bright Star on BSC

February 26, 2021

Newsletter Signup


ABOUT US

NewsBTC is a cryptocurrency news service that covers bitcoin news today, technical analysis & forecasts for bitcoin price and other altcoins. Here at NewsBTC, we are dedicated to enlightening everyone about bitcoin and other cryptocurrencies.

We cover BTC news related to bitcoin exchanges, bitcoin mining and price forecasts for various cryptocurrencies.

COMPANY

  • Advertising
  • Comments Policy
  • Privacy Center
  • Sitemap
  • About Us
  • Contact

Technical Analysis

  • Bitcoin (BTC)
  • Ethereum (ETH)
  • Ripple (XRP)
  • Chainlink (LINK)
  • Cardano (ADA)
  • Tezos (XTZ)

LINKS

Auto Trading Software ▸

Cryptocurrency news

  • Bitcoin
  • Ethereum
  • Ripple
  • Chainlink
  • Cardano
  • EOS
  • Tezos

© 2020 NewsBTC. All Rights Reserved.

  • News
    • Bitcoin
    • Ethereum
    • Ripple
    • Cardano
    • Tezos
    • EOS
    • Chainlink
    • Sponsored
    • Press Releases
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Education
    • Accepting Bitcoin payments
    • Using Bitcoin
    • What is Bitcoin Mining
    • How to Trade Bitcoin
    • How to Buy Bitcoin
    • Digital Currency Exchange
    • Proof of Existence
    • Is Bitcoin legal?
    • Bitcoin Books
  • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
  • Trade
  • Gamble +

© 2020 NewsBTC. All Rights Reserved.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy Center or Cookie Policy.