Finance

Ethereum: The Wall Street Blockchain Powering a 2,000% Surge in Tokenized Assets

Former BlackRock exec says Ethereum is Wall Street’s blockchain, as tokenized assets surge by 2,000% since January 2024.

byAndres Castro

November 12, 2025, 8:55 AM

Double exposure of the Wall Street sign overlaid with a glowing digital map and financial charts.

A composite image of the Wall Street sign and buildings with overlaid cryptocurrency and stock charts. By Peshkova / Shutterstock.com.

Executive Summary

Former BlackRock executive Joseph Chalom asserts that Ethereum is Wall Street’s preferred blockchain for digitizing finance, citing its trust, security, and liquidity as crucial for institutional adoption.

Chalom distinguishes Ethereum as a foundational infrastructure for diverse financial transactions, lending, and stablecoins, contrasting it with Bitcoin’s role primarily as a store of value.

Institutional adoption of Ethereum is surging, driven by key players like BlackRock and Fidelity, technical advancements, robust developer community, clear regulatory frameworks, and standardized token formats.

The Story So Far

Ethereum is increasingly viewed as Wall Street’s blockchain of choice for digitizing finance due to its versatile platform, which supports diverse financial transactions, stablecoins, and tokenized assets, distinguishing it from Bitcoin’s primary role as a store of value. This institutional embrace is further propelled by significant technical advancements like its proof-of-stake mechanism and Layer 2 solutions that reduce transaction fees, alongside the emergence of clearer regulatory frameworks in key financial jurisdictions.

Why This Matters

Joseph Chalom’s assertion that Ethereum is Wall Street’s blockchain of choice for digitizing finance, coupled with a nearly 2,000% surge in tokenized fund assets on the network since January 2024, signals a significant shift towards mainstream institutional adoption of the platform. This growing trust, driven by Ethereum’s security, liquidity, and ability to generate yield as a “productive asset,” suggests it is poised to become foundational financial infrastructure, streamlining traditional processes and potentially reshaping how firms manage and transact assets.

Who Thinks What?

Joseph Chalom, a former BlackRock executive, asserts that Ethereum is Wall Street’s blockchain of choice for digitizing finance, viewing it as foundational infrastructure and a “productive asset” essential for institutional adoption due to its trust, security, and liquidity.

Institutional investors, including BlackRock and Fidelity, are increasingly driving the growth of tokenized fund assets on Ethereum, attracted by its robust developer community, enhanced network security, reduced transaction fees, and the emergence of clear regulatory frameworks.

Joseph Chalom, a former BlackRock executive who previously led the firm’s digital asset initiatives, asserts that Ethereum stands as Wall Street’s blockchain of choice for digitizing finance. Chalom, now co-CEO of Sharplink, a digital asset treasury company, emphasized Ethereum’s unique combination of trust, security, and liquidity as essential for institutional adoption, a sentiment that comes as tokenized fund assets on the network have soared by nearly 2,000% since January 2024.

Ethereum as Financial Infrastructure

Chalom, who spent two decades at BlackRock, played a role in scaling the Aladdin platform and spearheaded crypto ventures, including backing Circle and launching the IBIT exchange-traded fund. His experience has solidified his view of Ethereum as a foundational infrastructure rather than a speculative asset.

He draws a distinction between Ethereum and Bitcoin, describing Bitcoin primarily as a store of value, while Ethereum functions as a versatile platform. Ethereum facilitates diverse financial transactions, lending, trading, NFTs, and complex applications, also hosting the majority of stablecoins and tokenized assets.

Furthermore, Ether’s proof-of-stake mechanism allows it to generate a 3% annual yield, positioning it as a “productive asset” compared to Bitcoin, which typically remains idle in portfolios.

Surging Institutional Adoption and Technical Advancements

Sharplink, Chalom’s current venture, holds over $3 billion worth of Ether, with nearly all of it actively staked. The company is actively exploring restaking strategies with collaborators like Consensys, Linea, and EigenLayer, aiming to unlock additional yield while maintaining assets with regulated custodians.

Data from Token Terminal highlights the significant institutional influx, noting that BlackRock and Fidelity have been pivotal in driving the growth of tokenized fund assets on Ethereum by bringing investment funds onto the blockchain.

Ethereum’s robust developer community and enhanced network security underpin this institutional interest. Recent upgrades, including the transition to Proof-of-Stake and EIP-4844, have substantially reduced transaction fees. Complementary Layer 2 networks such as Arbitrum and Optimism further enable near-zero cost transactions, making smaller tokenization projects economically viable.

The emergence of clear regulatory frameworks in jurisdictions like Singapore, Switzerland, and Hong Kong is also attracting more institutional participants. Standardized token formats like ERC-20 and ERC-3643 are simplifying integration for financial firms, bolstering Ethereum’s market position.

Current Market Performance

Ether (ETH) is currently trading near $3,568, having pulled back from recent peaks between $4,600 and $4,700. The cryptocurrency is positioned below its 20-week moving average of $3,803 but remains above its 50-week moving average of $3,365.

Momentum indicators suggest a short-term cooling phase, with the Relative Strength Index (RSI) at 48.4 and the Moving Average Convergence Divergence (MACD) showing bearish signals. Key support levels are identified between $3,350 and $3,400; maintaining this range could lead to a retest of $3,800. A breach below $3,350, however, might see prices decline towards the $3,000 to $3,100 zone.

Bridging Traditional Finance and Crypto

Chalom views Sharplink as a continuation of his mission at BlackRock: to bridge the gap between traditional finance and the burgeoning crypto ecosystem. He commented, “We spent decades building rails full of intermediaries,” underscoring the potential for blockchain technology to streamline financial processes.