How do institutional investors view Ethereum upgrade?

Institutional investors have different views on the upgrade of Ethereum. The main considerations include: at the technical level, they recognize the reduction in energy consumption and scalability brought about by the transformation from PoW to PoS, and believe that this will enhance Ethereum's competitiveness; at the economic level, they pay attention to the impact of the merged deflation trend and PoS staking income on Ethereum prices and investment opportunities; at the market level, they believe that the upgrade is in line with the market development trend and are optimistic about its application prospects in fields such as DeFi and NFT; at the risk level, they are worried about the technical risks and policy supervision uncertainty during the upgrade process. These factors together shape institutional investors' complex assessments of the future development and investment value of Ethereum.

Institutional investors have different views on the upgrade of Ethereum, mainly considering it from multiple aspects:

• Technical Change: Recognize the technological improvement brought by upgrading. PoW is transforming to PoS, reducing energy consumption, improving scalability, providing a better foundation for smart contracts and DeFi applications, enhancing Ethereum's competitiveness, attracting developers and users, and promoting long-term value growth.
• Economic model adjustment: Focus on the impact of upgrading on the economic model. The post-merger deflation trend increases the scarcity of Ethereum, or pushes up prices; PoS pledge income also provides new investment opportunities to attract institutional investors.
• Market Trends: It is believed that upgrading conforms to market development. Ethereum has a solid position in the crypto market, and its ecosystem has diversified after upgrading. It has many innovative projects in the fields of DeFi, NFT, etc., providing institutions with rich investment options.
• Risk Considerations: Worry about technical risks in upgrading, such as failures or vulnerabilities, which will affect network stability and market confidence. At the same time, policy supervision uncertainty has also made institutional investment decisions more cautious, fearing that adverse policies will impact the market.

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