Ethereum's Long-Term Value Growth Limited By Speculative Applications

According to PANews, a report by CoinShares reveals that Ethereum's transaction demand is concentrated in a few speculative application scenarios, limiting its long-term value growth. The report highlights that although the Ethereum ecosystem is expanding, the primary driver is users' willingness to pay for transactions, particularly on decentralized exchanges like Uniswap, where transaction fees account for over 90% of the activity. Additionally, stablecoin transactions have become a core component of network activity. With the rise of Layer 2 scaling solutions, Ethereum's demand has decreased, posing future challenges in promoting on-chain applications with long-term value.