- VanEck predicts Ethereum price will reach $22,000 by 2030, a 468% increase.
- Ethereum’s projected revenue growth is from $3.4 billion to $51 billion by 2030.
Global asset manager VanEck has made a bold prediction that Ethereum (ETH) will reach $22,000 by the end of the decade, representing a 468% increase from its current price.
This prediction comes as Ether (ETH) is currently trading at $3,865.56, having seen a 1.56% increase in the past 24 hours and a 2.23% increase over the past week, according to CoinMarketCap.
Ethereum’s Revenue Projections and Market Growth
VanEck’s forecast also extends to Ethereum’s revenue potential. Over the past year, Ethereum has generated $3.4 billion in revenue, but VanEck predicts this figure will soar to $51 billion by 2030.
We've raised our 2030 ETH price target to $22K, influenced by ether ETF news, scaling progress, and our read of onchain data. Additionally, we've analyzed how ETH and BTC perform in both traditional and crypto-only portfolios for optimal returns. @Matthew_Sigel @Patrick_Bush_VE…
— VanEck (@vaneck_us) June 5, 2024
The firm describes Ethereum as a revolutionary asset with few parallels in the non-crypto financial world, and it expects Ethereum’s network to continue its rapid market share growth from traditional financial market participants and Big Tech companies.
The report emphasizes Ethereum’s role as the centerpiece of its financial ecosystem. Currently, the network secures over $90 billion in stablecoins, approximately $7 billion in tokenized assets, and $308 billion in digital assets. This underscores its substantial presence and influence within the digital asset market.
Expanding Beyond Crypto
VanEck sees Ethereum making significant inroads outside of the crypto space. The firm estimates that the network’s total addressable market is around $15 trillion, with major opportunities in finance, banking, and payments.
Additionally, Ethereum could play pivotal roles in infrastructure, artificial intelligence, marketing, advertising, social platforms, and gaming.
The report highlights some of Ethereum’s unique characteristics, such as its nature as “programmable money” and a “yield-bearing commodity.” VanEck also refers to Ethereum as an “internet reserve currency” central to its extensive ecosystem and layer-2 networks.
This comes after the U.S. Securities and Exchange Commission (SEC) approved spot Ethereum ETFs, a decision that VanEck CEO Jan van Eck viewed as transformative for the crypto industry, in line with what ETHNews previously disclosed.
VanEck underscores the significance of gas fees in the Ethereum ecosystem. To send Ethereum or engage with smart contracts, users must spend ETH on gas fees, which are then removed from circulation through burning. This dynamic benefits Ethereum holders by both creating demand and reducing supply.
Competing with Tech Giants
Looking ahead, VanEck expects Ethereum to challenge established tech giants like Google and Apple as a platform for developers to create consumer-facing applications.
While Google and Apple take around 30% of revenue from apps hosted in their digital stores, Ethereum takes around 24% of revenue through gas fees.