autorenew
Why Ethereum is the Liquidity Layer for the Onchain Economy in 2025

Why Ethereum is the Liquidity Layer for the Onchain Economy in 2025

Ethereum Logo on Black Background

Hey there, crypto enthusiasts! If you’ve been keeping an eye on the blockchain world, you’ve probably heard some buzz about Ethereum lately. A recent tweet from David (@davwals) on August 4, 2025, has everyone talking, especially since he’s leading the new EF Enterprise team at the Ethereum Foundation. Let’s dive into why Ethereum is being hailed as the "Liquidity Layer for the internet of value" and what that means for the future of finance.

What’s the Big Deal with Ethereum?

David’s tweet dropped some jaw-dropping stats that show Ethereum’s dominance in the onchain economy. For starters, 90% of Real-World Assets (RWAs) are living on Ethereum and its Layer 2 solutions (think of L2s as turbochargers for Ethereum’s speed and efficiency). That’s a huge vote of confidence from financial institutions (FIs) and fintechs. Plus, Ethereum’s DeFi (Decentralized Finance) Total Value Locked (TVL) is a whopping 9 times larger than the next biggest ecosystem. That’s like Ethereum hosting a party while everyone else is still setting up the snacks!

In the last 30 days, Ethereum’s mainnet and L2s handled $170 billion in decentralized exchange (DEX) volume, with over $140 billion in stablecoin TVL on the mainnet alone. And get this—over 60% of all stablecoins (those crypto coins pegged to stable values like the dollar) are chilling on Ethereum and its L2s. These numbers aren’t just impressive; they’re a clear signal that Ethereum is the go-to platform for serious money movement.

Why Are Big Players Choosing Ethereum?

So, what’s drawing financial institutions and fintechs to Ethereum? It boils down to a few key perks. First off, Ethereum has been running smoothly for 10 years without a single major hiccup—talk about reliability! There’s no single point of failure, meaning no one company or person can shut it down, and you’re not locked into one vendor’s system. Plus, with Layer 2 options, you get flexibility without losing security.

Ethereum boasts over $130 billion in economic security, backed by 1.1 million validators who keep the network running. These validators use different software clients, ensuring true decentralization—no one can pull the strings. Add in the deepest liquidity pool in the crypto world and a “zero pay-to-play” policy (no bribes or backroom deals), and you’ve got a platform that’s hard to beat.

A Closer Look at the Data

Let’s break it down a bit more. The $170 billion DEX volume shows how much trading is happening on Ethereum, making it a hotspot for traders and investors. Stablecoins, like USDT or USDC, are crucial for keeping the crypto market stable, and Ethereum’s $140 billion+ share of that market is a testament to its trustworthiness. The 1.1 million validators aren’t just a number—they’re a global army ensuring the network stays secure and fair.

What Does This Mean for Meme Tokens and Beyond?

At Meme Insider, we’re all about keeping you updated on the wild world of meme tokens, but Ethereum’s role as a liquidity layer has ripple effects even here. Meme tokens often rely on strong blockchains to thrive, and Ethereum’s infrastructure supports not just DeFi but also the creative chaos of meme coin launches. With institutions jumping in, we might see more legit meme projects getting the funding they need to grow.

Final Thoughts

Ethereum isn’t just another blockchain—it’s the backbone of the onchain economy, and David’s tweet proves it with hard data. From uninterrupted uptime to unmatched decentralization, it’s no wonder FIs and fintechs are betting big on it. So, whether you’re into meme tokens or the next big DeFi move, keeping an eye on Ethereum is a smart play. Believe in something—believe in Ethereum!

What do you think about Ethereum’s rise? Drop your thoughts in the comments, and stay tuned to Meme Insider for more crypto insights!

You might be interested