This weekly update tracks some of the largest cryptocurrencies by market share: bitcoin and ether. While both are considered to be high-risk when it comes to investing, the two have foundational differences that investors should know. We've also included XRP, as it was one of the largest cryptocurrencies when this series began. According to Wikipedia, a cryptocurrency is "a digital asset designed to work as a medium of exchange that uses cryptography to secure its transactions, to control the creation of ...

Core Insights - Huobi founder Li Lin has partnered with early Ethereum backers to establish a $1 billion digital asset trust focused on accumulating Ether (ETH) [1][4][9] Group 1: Key Players and Structure - The trust is being developed in collaboration with notable figures such as Shen Bo of Fenbushi Capital, Xiao Feng of HashKey Group, and Cai Wensheng of Meitu Inc. [3][6] - The structure of the Ether trust will utilize a Nasdaq-listed shell company, providing a regulated framework for institutional investors [4][5] Group 2: Financial Backing and Goals - The initiative has successfully raised approximately $1 billion, with significant contributions including $500 million from HongShan Capital Group and $200 million from Avenir Capital [4][9] - The trust aims to provide regulated exposure to Ether and related digital assets, responding to increasing institutional interest in cryptocurrencies following the success of US spot Bitcoin ETFs [5][9] Group 3: Market Context and Future Outlook - The project is positioned to meet the growing demand for Ethereum-based financial products, especially with the anticipated approval of spot Ether ETFs in major markets [5] - Industry experts are optimistic about Ethereum's potential, suggesting it is entering a "trillion-dollar phase" as institutional interest continues to rise [8]

Core Insights - The article provides an update on major cryptocurrencies, focusing on Bitcoin, Ether, and XRP, highlighting their market performance and foundational differences [1][2][3][4]. Bitcoin - Bitcoin, the first cryptocurrency, reached a record high closing price of $124,000 this week, marking a year-to-date increase of approximately 29% [2]. - Bitcoin is characterized by its volatility but is also viewed as resilient in the market [2]. Ether - Ether, launched in July 2015 on the Ethereum blockchain, has the second largest market share and saw its price rise over 10% this week, reaching its highest level in three weeks [3]. - Year-to-date, Ether's price has increased by around 33% and is approximately 8% below its record close from August 2025 [3]. XRP - XRP, owned by Ripple and launched in 2012, was once among the larger cryptocurrencies but has since been surpassed by newer entrants [4]. Comparative Analysis - An index has been created to compare Bitcoin, Ether, and XRP, utilizing a logarithmic scale to illustrate relative percentage changes and long-term growth since November 9, 2017 [5]. - Currently, Bitcoin leads in price changes among the three cryptocurrencies [5]. ETF Developments - On January 10, 2024, the SEC approved several spot Bitcoin ETFs from various issuers, including Grayscale Bitcoin Trust ETF and Fidelity Wise Origin Bitcoin Fund [6]. - On July 23, 2024, multiple spot Ether ETFs were launched, including Grayscale Ethereum Trust and Franklin Ethereum ETF [7].

Core Insights - Ethereum typically experiences strong performance in the fourth quarter, with a median return of approximately 22% and an average return near 24% [3] - Historical price behaviors in Q4 may be influenced by new investors, particularly asset managers and treasury companies, who have different capital and investment horizons compared to previous buyers [6][7] - Despite potential shifts in dynamics, there are indications that Q4 could still align with Ethereum's historical performance trends [10] Performance Trends - Q4 is traditionally the best-performing quarter for Ethereum, indicating a tendency for late-year momentum to favor holders [3] - The wide dispersion of results suggests that while the median return is lower than the average, there are significant upside outliers that can impact overall performance [3][4] Market Dynamics - The approval of spot Ether exchange-traded funds (ETFs) by the SEC in May 2024 is expected to enhance Ethereum's integration with the traditional financial system, allowing mainstream brokerage accounts to invest more easily [6] - The emergence of crypto treasury companies focused on accumulating Ethereum is introducing a new class of investors, which may alter the historical price behaviors observed in Q4 [6][7]