Ethereum News Today: Ethereum Treasuries Outperform Bitcoin via Staking and DeFi Returns

Joseph Lubin, co-founder of Ethereum and chairman of ETH-focused treasury firm SharpLink, has argued that corporate Ethereum (ETH) treasuries possess a structural edge over Bitcoin (BTC) treasuries due to Ether’s capacity to generate returns through staking and decentralized finance (DeFi) mechanisms. In a recent Bloomberg interview, Lubin highlighted how Ether’s “productive and yielding asset” nature enables faster capital appreciation compared to Bitcoin’s passive holding model [7]. This perspective contrasts with Bitcoin treasury strategies, which he described as less dynamic despite Bitcoin’s growing institutional adoption [1].

SharpLink’s approach, Lubin explained, mirrors Michael Saylor’s Bitcoin accumulation model but leverages Ethereum’s unique capabilities. The firm converts daily capital inflows into ETH, which is immediately staked or restaked to generate yield. This process, combined with DeFi opportunities, allows the firm to grow its ETH holdings at a rate it believes outpaces both Bitcoin-based projects and other Ethereum initiatives [7]. Lubin emphasized that Ether’s integration with DeFi and its proof-of-stake model provide returns unavailable to Bitcoin holders, creating a “more powerful” framework for value creation [7].

The firm has also been consistently acquiring ETH through automated mechanisms, including ATM facilities, to reinvest and stake the asset [7]. “We’ve been accumulating capital every single day… and nearly every day, we’re buying more Ether and staking it immediately,” Lubin stated [7]. This strategy aligns with broader trends in corporate crypto adoption, where over 545,000 ETH is now held by corporate treasuries alone [1]. Lubin attributed this shift to Ethereum’s transition to a proof-of-stake model and its integration with DeFi, which offer active returns to ETH holders through network security and governance participation [7].

While Bitcoin’s simplicity and first-mover advantage continue to attract institutional interest—evidenced by recent private placements and ETF inflows [5]—Lubin’s focus on Ethereum’s yield-generating potential underscores a key divergence in asset strategies. “We believe we’ll accumulate more ETH per fully diluted share faster than any other Ethereum-based project—or certainly faster than Bitcoin-based ones,” he stated [7]. This confidence stems from Ethereum’s ability to enable direct participation in network governance and security, creating a compounding effect for treasury assets.

The debate over ETH versus BTC treasuries reflects broader discussions about crypto’s role as a corporate asset class. While both assets benefit from institutional interest, Ethereum’s active returns through staking and DeFi could position it as a more attractive option for companies seeking to optimize treasury value. Lubin’s remarks also highlight the strategic importance of treasury management in blockchain ecosystems, where capital efficiency and governance participation directly impact long-term asset performance [7].

Sources:

[1] The Block, [https://www.theblock.co/amp/post/364669/the-daily-hype-fades-as-hyperliquid-experiences-brief-outage-standard-chartered-says-ethereum-treasury-firms-could-10x-holdings-to-10-of-all-eth](https://www.theblock.co/amp/post/364669/the-daily-hype-fades-as-hyperliquid-experiences-brief-outage-standard-chartered-says-ethereum-treasury-firms-could-10x-holdings-to-10-of-all-eth)

[5] MLQ.ai, [https://mlq.ai/news/](https://mlq.ai/news/)

[7] The Daily Hodl, [https://dailyhodl.com/2025/07/29/billionaire-joseph-lubin-says-ethereum-treasury-companies-can-be-more-powerful-than-bitcoin-treasuries-heres-why/](https://dailyhodl.com/2025/07/29/billionaire-joseph-lubin-says-ethereum-treasury-companies-can-be-more-powerful-than-bitcoin-treasuries-heres-why/)