Bitwise's Value Capture Alert for Ethereum and Altcoins

A serious transformation is taking place in the value of major cryptocurrencies. Matt Hougan, Chief Investment Officer (CIO) of Bitwise Investment Company, emphasizes that this process is the most overlooked trend in the crypto market. Investors focused on short-term fluctuations are actually on the verge of significant changes across the sector.

According to Hougan, major projects are evolving beyond being governance tools and are transitioning into structures that generate direct income, reflecting this income back to the token. The first signals of this transformation are clearly observed in the Uniswap, Ethereum, and XRP ecosystems. Particularly, the impact of the fee switch mechanism on Uniswap (UNI) is grabbing investors' attention, with the possibility of burning approximately 16% of transaction fees. Such a move is expected to create a more solid supply dynamic for UNI's long-term value.

On the Ethereum front, the Fusaka upgrade expected on December 3rd has the potential to increase revenues five to ten times. This increase is due to the introduction of a minimum data fee from Layer 2 solutions. On the other hand, the XRP community is discussing staking models. If this model becomes active, the usage area and returns of XRP within the network could change significantly.

Matt Hougan states that this trend will become much more pronounced by 2026. Along with new regulations, it is expected that tokens will shift away from their governance-weighted structures toward models focused on capturing more value. Experts believe that this transformation has the potential to attract long-term investors back to major projects. Strengthening models such as revenue sharing, burning mechanisms, or staking could make major tokens more resilient against market cycles.