Top 11 Ethereum Ecosystem Tokens You Need to Know (2024)

On Jan 10, 2024, the U.S. Securities and Exchange Commission (SEC) approved eleven Bitcoin Spot ETFs, which allow investors regulated access to Bitcoin without owning the actual cryptocurrency itself. This hallmark approval marked a significant step for Bitcoin and the cryptocurrency market, triggering an upswing as the market entered a bull run.

Now, all eyes are turned toward Ethereum, the second largest crypto by market cap, with possible SEC approval for Ether Spot ETFs likely on May 23, 2024. While nothing has been confirmed yet and the lack of engagement by the SEC points toward a delay in the approval, most observers believe that approval is inevitable (even if it won't happen on that date).

A pump in value similar to that of Bitcoin due to its Spot ETF approvals could take place for Ethereum and the tokens built on its ecosystem. Let’s take a look at the Ethereum ecosystem tokens to watch for in 2024.

Key Takeaways:

• With the proposed Ethereum Spot ETF approvals expected to occur on May 23, 2024, the financial world expects a surge in Ethereum-based tokens.

• While there's been no confirmation of the impending approval, its occurrence could lead to a surge in ETH's price, as well as prices of ERC-20 tokens.

• Holding these tokens or locking them in products such as Bybit Savings could help you gain from the possible price pumps following the approvals.

Top Ethereum Ecosystem Tokens

The Ethereum ecosystem is a significant component of the crypto market, especially the decentralized finance (DeFi) niche. It’s experienced phenomenal growth following various Ethereum upgrades, such as Dencun and Shanghai.

Now, with looming Ether Spot ETF approval, we could witness a price rally in some of the following projects in Ethereum’s ecosystem.

1. Ethereum (ETH)

Ethereum (Ether, symbol ETH) is the native token for the Ethereum ecosystem and the second largest cryptocurrency, with a market capitalization of $397.6 billion as of Apr 24, 2024. Trading at $3,257 as this date, ETH is one of the tokens that has maintained steady growth over the years. With the aggressive upgrades that continue to take place on Ethereum, the token’s demand will continue to increase over time.

ETH is used mainly to pay gas fees and interact with the Ethereum ecosystem. As the bullish trend in the crypto market continues to gain momentum, alongside with the expected Ether Spot ETF approval, ETH’s price could hit new highs this year.

2. Tether (USDT)

As the first sablecoin to enter the crypto market, Tether (USDT) has continued to experience significant growth over the years, becoming the largest stablecoin, with a current market cap of $110.48 billion. Tether launched on Ethereum in 2017, and its ERC-20 token is one of the most popular in the Ethereum ecosystem.

Backed by the U.S. dollar at a ratio of 1:1, USDT has remained relatively stable even when market conditions have been bearish. Due to its stability and deep liquidity, USDT is a major part of the Ethereum ecosystem's expansion.

3. USDC (USDC)

Formerly USD Coin, USDC (USDC) is a U.S. dollar–backed stablecoin operated by Centre Consortium, which is composed of fintech giants Circle and Coinbase. The company aims to make global value exchange frictionless, affordable and inclusive.

With a market cap of $33.67 billion, USDC is ranked among the top ten tokens in the crypto market and has emerged as a popular stablecoin and a worthy competitor to USDT.

Its upgrade to USDC 2.0 added a gasless feature for transactions on the Ethereum network, which its developers believe will continue to increase the token’s dominance in the space. Based on its ever-growing market cap and value addition in the crypto space, USDC is one of the top ERC-20 tokens to watch.

4. Shiba Inu (SHIB)

Shiba Inu (SHIB) is one of the most popularmeme coins in the crypto market, with a market cap of $16.05 billion. While this top Ethereum-based token may have started as a diversionary meme coin, the project has evolved over the years to provide real value to its users.

Shiba Inu now offers a decentralized exchange (DEX) known as ShibaSwap, and also has an NFT collection known as Shiboshis, an integral part of the Shiboshi game. Shiba Inu also offers Shibarium, a Layer 2 (L2) chain designed to help scale Ethereum by offering lower fees and increased transaction speed.

5. First Digital USD (FDUSD)

First Digital USD (FDUSD) is an ERC-20 and BEP-20 stablecoin issued on Ethereum and BNB Chain, respectively. With a market cap of $4.2 billion as of Apr 24, 2024, FDUSD has continued gaining popularity, as it provides fast speeds and minimal transaction costs.

Collateralized to the U.S. dollar at a ratio of 1:1, FDUSD can be used for remittances, payments, and DeFi services such as yield farming, lending and staking. 

6. Omni Network (OMNI)

The Omni Network (OMNI) is a recently launched ERC-20 token designed to unify the L2 ecosystem on Ethereum by combining all rollups into a single interoperable network. As L2 projects continue to proliferate, Omni is strategically placed to gain from this growth due to the value proposition it offers.

With some of the top Ethereum L2s such as Arbitrum and Optimism in its ecosystem, Omni Network is positioned for significant growth. At a price of $23.07, its current market cap is $240.35 million as of Apr 24, 2024.

7. Ondo (ONDO)

Ondo (ONDO) is an ERC-20 token that powers the Flux Finance protocol and the Ondo DAO. As one of the projects spearheading the real-world assets (RWA) narrative in the crypto space, Ondo has been generating quite the buzz. Backed by financial giants such as the BlackRock and PIMCO investment management companies, Ondo is designed to make institutional-grade investment products available to the masses.

Its yield-bearing stablecoin, US Dollar Yield (USDY), is backed by the U.S. Treasury, allowing investors to earn through a tokenized real-world asset. With a market cap of $1.28 billion as of Apr 24, 2024, ONDO has experienced tremendous growth in 2024, and is one of the Ethereum tokens to watch due to its value addition to the space.

8. Toncoin (TON)

Toncoin (TON) is the native token for The Open Network (TON), founded by Telegram, the social media giant. TON is designed to onboard users into blockchain technology by providing a quick, efficient and inexpensive way to transact.

With a market cap of $20.48 billion as of Apr 24, 2024, TON’s value has been exploding following the launch of community rewards on the platform and the announcement of exclusive Toncoin payment for ads to incentivize channel activities in Telegram in early 2024.

9. GALA (GALA)

GALA is an ERC-20 utility token that powers the GALA Games ecosystem. While the token is struggling to reach its all-time high of $0.8248, recorded back in November 2021, its ecosystem has continued to grow with a recent revamp of its road map that includes significant changes to advance this blockchain gaming ecosystem.

The launch of GalaSwap in February 2024 on its Layer 1 (L1) blockchain, GalaChain, and the growing demand for web3 gaming makes GALA a key ERC-20 token to watch in the GameFi niche. Its market cap stands at $1.78 billion as of Apr 24, 2024.

10. WETH (WETH)

Wrapped Ether (WETH) is a version of ETH that’s used in order to interact with decentralized applications (DApps) in the Ethereum ecosystem. Since it's an ERC-20 token, it's interoperable with other blockchains, allowing its holders to carry out DeFi activities such as yield farming, staking and providing liquidity.

As the Ethereum ecosystem expands, the demand for WETH — being equivalent to ETH — is expected to increase as well.

11. Mantle (MNT)

Mantle is a highly secure and hyper-scalable L2 solution in the Ethereum ecosystem. The platform's innovative modular architecture combines optimistic rollups with data availability, which allows DApps to function efficiently.

The EVM-compatible platform provides enhanced functionality for Ethereum DApp developers looking to incorporate smart contracts into their projects. As of Apr 24, 2023, MNT has a market cap of $3.76 billion.

Where to Buy Ethereum Ecosystem Tokens

You can buy the above Ethereum ecosystem tokens on Bybit. They’re available on the Spot trading terminal and as Derivatives through Perpetual contracts.

Furthermore, Bybit provides various options for investing your Ethereum-based tokens to generate passive income. For instance, you can opt to lock your tokens on Bybit Savings to earn fixed or flexible staking rewards. You can also stake your ETH with Bybit’s ETH 2.0 staking and earn up to 7% APR, while still trading using your staked ETH as collateral.

Closing Thoughts

So far, the Ethereum ecosystem has been experiencing significant growth with continual upgrades on the platform to increase efficiency. With approval of Ether Spot ETFs, its ecosystem could experience an influx of funds from those looking to invest in Ethereum-based tokens. The tokens listed above provide unique value to Ethereum users and crypto enthusiasts. If Ethereum’s value climbs, these tokens could experience a significant price pump.

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