TLDR
- Standard Chartered says Ethereum is undervalued at current levels despite recent price increases.
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Ethereum treasury companies have absorbed 4.9% of circulating ETH in less than 3 months.
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Standard Chartered maintains a $7,500 price target for ETH by year-end and $25,000 by 2028.
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ETH treasury firms offer a stronger investment case than U.S. spot ETFs, according to Kendrick.
Standard Chartered’s Geoffrey Kendrick believes Ethereum (ETH) and ETH treasury companies are undervalued, despite recent price growth and inflows. Kendrick sees Ethereum’s digital asset treasury (DAT) companies, including firms like SharpLink Gaming and BitMine Immersion, as being undervalued at current levels. In his analysis, Kendrick maintains a year-end price target of $7,500 for ETH and forecasts it to reach $25,000 by 2028.
While Ethereum’s price reached a new all-time high of $4,955 on August 24, 2025, Kendrick insists ETH remains cheap compared to its potential. Ethereum treasury companies, including some that hold ETH on their balance sheets, are benefiting from staking yields. This is a critical factor driving valuation support, according to Kendrick.
Ethereum Treasury Companies Absorb ETH Supply
Ethereum treasury companies have made significant purchases in recent months. Since June 2025, companies holding ETH in their treasuries have bought 2.6% of all ether in circulation, while Ethereum spot ETFs have added another 2.3%. This means that in less than three months, a total of 4.9% of the supply has been absorbed.
Kendrick suggests that this trend reflects growing confidence in ETH and its long-term potential. He also pointed out that treasury firms such as BitMine Immersion and SharpLink Gaming could eventually hold 10% of the total circulating ETH.
He emphasizes that Ethereum’s strong staking yields make these treasury firms even more attractive investments, further justifying their increasing role in the market.
Ethereum Valuation Relative to Other Treasury Firms
Standard Chartered analyst Kendrick raised concerns over the current valuation of ETH treasury companies when compared to firms like Strategy (MSTR). The net asset value (NAV) multiples of companies holding ETH are currently lower than those of Strategy, despite the fact that ETH treasury firms can capture Ethereum’s 3% staking yield. This yield adds an income component that companies like MSTR, which do not hold ETH, cannot benefit from.
Kendrick believes that as the ETH treasury market continues to grow, the current undervaluation of these companies should correct itself.
He pointed out that firms like SharpLink Gaming have indicated their intent to repurchase shares if their NAV multiple falls below 1.0, providing a potential “hard floor” for their valuations. The researcher’s analysis suggests that Ethereum DAT companies are positioned for strong performance in the coming months and years, with the potential for substantial returns as their market share expands.
ETH’s Investment Case Versus U.S. Spot ETFs
Kendrick also noted that Ethereum DATs present a stronger investment case than U.S. spot ETFs. Unlike spot ETFs, which cannot stake or participate in decentralized finance (DeFi), Ethereum DATs benefit from staking rewards.
This makes Ethereum treasury companies an attractive option for investors seeking exposure to Ethereum without missing out on the income generated by staking. Kendrick’s view on Ethereum’s strong fundamentals and growth potential highlights why these treasury firms are considered a more compelling investment in the current market environment.
Kendrick’s projections underscore the growing confidence in Ethereum’s role in the digital asset market. By 2028, he expects Ethereum to reach $25,000, further solidifying its position as a leading cryptocurrency.
