Joseph Chalom, CEO of Sharplink, forecasts Ethereum total value locked will increase dramatically in the coming year, driven by stablecoin expansion and institutional adoption. The network currently holds approximately $68.20 billion in TVL.
What Happened: Institutional Adoption
Chalom expects the stablecoin market to reach $500 billion by Dec. 2026, representing 62% growth from the current $308.46 billion total market capitalization.
Ethereum processes more than half of all stablecoin transactions across blockchain networks, positioning the protocol to capture significant value from this expansion.
Chalom also projects the tokenized real-world assets market will reach $300 billion next year, moving beyond individual securities to encompass complete fund complexes. Major financial institutions like BlackRock have increased their blockchain technology involvement over the past year, which Chalom identifies as a potential catalyst for transferring substantial assets onto Ethereum's infrastructure.
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Why It Matters: Market Impact
Chalom anticipates sovereign wealth fund holdings and tokenization efforts on Ethereum could grow five- to tenfold in the coming year.
This potential increase stems from competitive pressures that may prompt institutional investors previously hesitant about cryptocurrency exposure to reconsider their strategies as peer adoption accelerates.
The Sharplink CEO expects on-chain artificial intelligence agents and prediction markets will gain mainstream traction in 2026, further driving network activity.
Crypto analyst Benjamin Cowen recently expressed skepticism about Bitcoin reaching new price highs in 2026, while Chalom maintains that institutional interest from traditional finance firms, expanded applications and sovereign fund involvement could position Ethereum for substantial TVL growth.
Ethereum currently trades at approximately $2,930, down 13% year-to-date and 40% below its $4,964 all-time high reached earlier this year.
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