Background
Standard Chartered’s digital assets research team highlights a remarkable accumulation trend among ether treasury companies and exchange-traded funds (ETFs). From June through late August, standalone treasury firms purchased 2.6% of all circulating ether, while ETF inflows added another 2.3%, together accounting for 4.9% of the network’s supply.
Recent Price Action
Ether surged to a new high of $4,955 on August 24 before experiencing a pullback to near $4,500. Standard Chartered’s global head of digital assets research interprets this dip as a buying opportunity, maintaining a forecast of $7,500 for year-end ether prices based on sustained institutional demand and macroeconomic tailwinds.
Valuation Discrepancies
Analysis of market-to-net-asset-value (mNAV) multiples reveals that two prominent ether treasury companies—Sharplink Gaming and Bitmine Immersion—trade below the multiple of Bitcoin-focused Strategy (MSTR). These treasury companies also capture a 3% annual staking yield, which should theoretically support even higher mNAV valuations compared to peers without yield-generating assets.
Corporate Actions
Recent developments include a plan by SBet Holdings to repurchase its own stock if the NAV multiple falls below 1.0. Such measures establish a floor for ether treasury stock valuations, potentially mitigating downside risk and boosting investor confidence in the event of further market corrections.
ETF Resilience
Despite an 8% one-day drop in ether, ETF products attracted $444 million in net inflows on Monday, led by a $315 million contribution from BlackRock’s iShares Ethereum Trust (ETHA). This demonstrates that institutional investors continue to allocate capital into regulated ether exposure even amid price volatility.
Strategic Outlook
Standard Chartered underscores that treasury companies are only at the beginning of their capitalization cycle. As Ethereum protocol staking yields persist and network usage expands, analysts project that treasury firms could eventually own 10% or more of circulating ETH. This trajectory supports a bullish stance on both spot ether and related corporate securities.
Implications for Investors
Valuation gaps between ether treasury companies and traditional assets present potential arbitrage opportunities for investors. Coupled with strong staking yields and corporate buyback commitments, these firms may offer an attractive risk-reward profile in contrast to pure digital asset holdings.
Conclusion
Standard Chartered’s findings suggest that ether treasury companies remain undervalued relative to their fundamental asset backing and yield potential. The convergence of strategic buybacks, elevated ETF inflows and robust token staking supports the thesis that these equities could outperform broader cryptocurrency benchmarks through year-end and into 2026.
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