Ethereum, the second-largest digital token in the world, rose more 4% in the last 24 hours, hitting an all-time high of around $7400 early Monday. At press time, the token sat at around $4754. Ethereum has gained popularity over the past year as the DeFi grows, and many platforms are using the Ethereum blockchain. Major exchanges like Uniswap use the Ethereum blockchain, and Aave lives on the network because it has proven easier to use and manage than Bitcoin’s network. Ethereum also serves the central nervous system of many NFTs, which have had their own record year—one sold at Christie’s for $69 million. As Ethereum prepares for a major upgrade—to a platform known as Ethereum 2.0–Bitcoin is also closing in on its own record high after surpassing $67,000 in October. In spite, and potentially as a result of the massive success of the DeFi industry, regulators are closing in, seeking tighter regulation of these markets. Sid Powell, a co-founder of Maple Finance, said, “I think the regulators are going to pay more attention to the space.” He continued to say, “it’s probably inconceivable that you have a meaningful growth of DeFi which does not need to complement existing regulation in [the] future.” Regulators across the globe are cracking down on crypto, especially in China, and Coinbase recently had a showdown with the SEC over an interest-gaining token that the regulator believed was too much like a security.
