The Ethereum version of MicroStrategy sparks heated discussions on the positioning and impact of ETH as a reserve asset.

Recently, the Ethereum version of "MicroStrategy Summer" has sparked heated discussions, with people exploring whether ETH can replicate the successful model of BTC MicroStrategy. In this regard, there are several viewpoints worth following:

Firstly, the ETH Micro Strategy has indeed emulated the successful experience of the BTC Micro Strategy, which may attract a number of US stock companies to follow suit in the short term, creating a certain positive cycle. Regardless of the trading entities, the actual buying behavior of traditional institutional funds and retail investors using ETH as a reserve asset has indeed helped Ethereum break free from its long-term sluggish state. This also validates that ETH has finally begun to attract incremental funds from outside the crypto space, no longer relying solely on the narrative construction within the cryptocurrency circle.

Secondly, BTC is closer to the positioning of "digital gold" as a reserve asset, with relatively stable value and clear expectations. On the other hand, ETH is essentially a "productive asset," whose value is closely related to multiple factors such as the usage rate of the Ethereum network, Gas fee income, and ecological development. This means that the volatility and uncertainty of ETH as a reserve asset are greater. If the Ethereum ecosystem encounters significant technical security issues, or if regulations put pressure on certain functions, the risks and volatility facing ETH as a reserve asset may far exceed those of BTC. Therefore, the narrative logic of BTC-based micro-strategies can be referenced, but the market pricing and valuation logic may not necessarily remain consistent.

Furthermore, the Ethereum ecosystem has a more mature DeFi infrastructure accumulation and richer narrative extensibility compared to BTC. Through the staking mechanism, ETH can generate a native yield of about 3-4%, making it the "on-chain interest-bearing national bond" of the crypto world. Institutions accept this concept, which may be detrimental in the short term for various infrastructure developments providing native asset yields for BTC, but in the long run, it may be quite the opposite. Once ETH plays a larger role as a programmable interest-bearing asset in the ETH micro-strategy, it may instead stimulate the accelerated development of the BTC ecosystem and improve the infrastructure.

In addition, this round of MicroStrategy's Summer essentially represents a major reshuffling of the narrative direction in cryptocurrency. Previously, project teams built projects and propagated technological narratives mainly targeting venture capital and retail investors. Now, this new narrative is more directed towards Wall Street. The key difference is that Wall Street does not buy pure concepts; they focus on product-market fit—real user growth, revenue models, market size, etc. This forces cryptocurrency projects to shift from a "technology narrative focus" to a "business value focus."

In the end, most of the U.S. companies participating in the microstrategy concept are traditional capital market businesses with sluggish growth, needing to rely on cryptocurrencies to find new breakthroughs. They choose to invest fully in crypto assets often because their main business lacks growth points and they have to seek new value growth engines. The reason why these trading entities are so aggressive is largely due to the "arbitrage window" created by the U.S. government's promotion of reforms in the crypto industry before the regulatory mechanisms mature. In the short term, they have indeed taken advantage of many legal and compliance loopholes, such as the ambiguity in accounting standards for the classification of crypto assets, relaxed regulatory disclosure requirements, and gray areas in tax treatment.

The success of MicroStrategy is largely attributed to the benefits of this super bull market in BTC, but as a replicator, one may not necessarily replicate the same success. Therefore, the market enthusiasm brought about by this trading entity is essentially still a gamble and trial-and-error, and investors must be vigilant about the risks.

This round of MicroStrategy's Summer is more like a "big drill" for cryptocurrency to enter the mainstream financial system. Whether successful or not, being able to pull ETH out of the predicament of weak narratives, this experiment itself is already a success.