FOUNDATIONAL TECHNOLOGY

Ethereum

Generally considered the largest public blockchain holding the highest Total Value Locked (TVL) of $55.7 billion. Designed as a programmable platform that enables smart contracts and decentralized applications. Ethereum’s transition to Proof of Stake and Layer 2 scaling solutions have made it the primary infrastructure for institutional tokenization.

EXAMPLE

BlackRock's BUIDL fund was launched on Ethereum due to its established ecosystem of institutional custody, settlement rails, and regulatory clarity compared to alternative chains.

Relevant Roles and Functions

On-chain Role
Chief Blockchain Infrastructure Officer
Head of Blockchain Infrastructure
Function
Blockchain Network Integrations
Node Operations
Smart Contract Infrastructure
Validator Participation
TradFi Equivalent
Core Banking Architecture
Distributed Systems
Payments Infrastructure
Technology

Related Terms

Smart Contract

Self-executing code deployed on a blockchain that automatically enforces and carries out the terms of an agreement when predefined conditions are met—without requiring an intermediary to oversee performance.

Example

A smart contract can automatically release collateral when a loan is repaid, eliminating manual processing and reducing operational risk.

Staking

The act of locking cryptocurrency or digital assets in a blockchain protocol to support network security, validate transactions, or provide liquidity, in exchange for periodic rewards. Institutional staking products allow clients to earn on-chain yield.

Example

Fidelity Digital Assets offers institutional clients access to Ethereum staking yield without requiring them to manage validator node infrastructure directly.

Public Blockchain

A permissionless blockchain network where anyone can read, write, and participate in consensus without requiring approval from a central authority. Bitcoin and Ethereum are the two largest public blockchains.

Example

While J.P. Morgan initially favored permissioned chains, the firm is now bridging its Kinexys platform to public Ethereum to access deeper liquidity pools for tokenized assets.