Recently, many companies have begun to add Ethereum (ETH) to their reserves. Vitalik Buterin, co-founder of Ethereum, shared his thoughts on this trend in an interview with the Bankless podcast, highlighting both the positives and the risks.
Rise of Companies Holding ETH
In the interview, Buterin noted that holding ETH in company treasuries can be valuable, providing investors with more options for accessing this asset.
Warning About Excessive Leverage Risks
He warned that if this trend turns into an over-leveraged game, it could lead to a gradual price collapse of ETH. Buterin believes it is crucial to remain cautious in this context.
Comparison with Previous Crises
Buterin also emphasized that modern ETH holders are more resilient compared to those who invested in projects like Terra. He is confident that Ethereum investors possess enough discipline to avoid catastrophic outcomes. \n \n > “These are not Do Kwon followers we are talking about. ETH investors have enough discipline to stay away from such a crash.” CITE_W_A
As interest in ETH from companies surges, Vitalik Buterin underscores the importance of awareness regarding the associated risks involved in the asset. While the current situation appears positive, caution should not be overlooked.
