Bernstein: ETH Treasuries Shifting Toward Yield-Driven Strategies
Ethereum is redefining the role of crypto assets in corporate treasuries, with ether (ETH) increasingly being deployed as a productive, yield-generating asset rather than a passive reserve, according to a report from Wall Street firm Bernstein.
Companies such as BitMine Immersion Technologies (BMNR) and SharpLink Gaming (SBET) are among the early adopters of this new model, allocating ETH into staking strategies to earn passive income. Ethereum’s proof-of-stake system allows participants to lock up their tokens in return for staking rewards, offering a yield-generating alternative to traditional crypto holding strategies.
Bernstein estimates that a $1 billion ETH treasury could deliver between $30 million and $50 million in annual yield. While current staking returns are just below 3%, they’ve historically ranged between 3% and 5%.
This approach contrasts with the bitcoin (BTC) treasury playbook seen in firms like MicroStrategy (MSTR), which favor liquidity and long-term appreciation. Ether treasuries, by comparison, actively pursue yield, though this comes with greater operational complexity.
Staking introduces liquidity constraints—unstaking ETH requires a waiting period, potentially leaving capital exposed during volatile market conditions. More advanced strategies, such as re-staking and DeFi-based yield optimization, present additional risks tied to smart contract vulnerabilities and protocol dependencies.
To navigate these challenges, Bernstein stresses the need for institutional-grade infrastructure, custody solutions, and risk management frameworks. The firm believes well-managed treasuries will be able to balance yield generation with capital protection.
Looking ahead, Bernstein sees strong structural demand for ether. Around 30% of ETH’s circulating supply is currently staked, with another 10% engaged in DeFi applications. Combined with continued inflows into ether-based ETFs and constrained token issuance, the supply-demand dynamics favor ETH’s role as a long-term strategic asset.
Ultimately, the report concludes, ETH is well-positioned to support sophisticated treasury strategies—provided liquidity risks are carefully managed and returns are pursued with prudent oversight.
