Ethereum did not reach record high prices like Bitcoin this year, but there have still been many notable events that have shaped a tumultuous year for the second-largest blockchain. Below is a summary of the highlights of #Ethereum in 2024.
Legal Pressure from SEC
The year 2024 starts with a series of rumors that the SEC may target Ethereum. Later, Consensys—a major company in the $ETH ecosystem—was accused by the SEC of violating securities laws related to the MetaMask wallet and Staking services.
• In September, the SEC's lawsuit against Consensys was dismissed, but this did not prevent the company from having to cut 20% of its workforce due to legal pressures.
• The good news is that if Paul Atkins, Trump's presidential candidate #SEC , is approved, the agency may be more crypto-friendly in the future.
Approved Ethereum ETF
After $BTC , Ethereum also unexpectedly received approval from the SEC for direct trading ETF funds.
• In July, Ethereum ETFs began trading, but ETH prices did not rise sharply like Bitcoin.
• Nevertheless, this approval brings an important victory: the SEC has implicitly acknowledged that ETH is not a security, paving the way for recognition from Wall Street and major financial institutions.
Trump and the Project on Ethereum
Donald Trump has committed to making the U.S. the "global crypto capital" in his campaign. A part of this plan is World Liberty Financial (WLF), a decentralized finance (DeFi) project running on Ethereum.
• WLF provides crypto lending and borrowing services, and plans to launch its own stablecoin.
• Although the launch was unimpressive, the project remains great news for the Ethereum community as it received support from the #TRUMP government.
Technical Upgrade: Dencun
The Dencun upgrade significantly reduces transaction costs on Ethereum's layer-2 networks.
• The "proto-danksharding" technology reduces fees, increasing the attractiveness for DeFi applications.
• However, the increasing value of layer-2 over layer-1 may negatively impact ETH prices.
Conclusion
2024 for Ethereum is a crossover between technical advancements and legal challenges. Although ETH prices have not met expectations, significant developments like the ETF, Dencun upgrade, and Trump's DeFi project are shaping the future for this blockchain. Investors and the community will continue to watch Ethereum in 2025 with greater expectations.