A new valuation platform developed by Hashed CEO Simon Seojun Kim aimed at determining the “fair value” of Ethereum (ETH) has revealed that ETH is significantly undervalued compared to its current price.
According to the platform’s comprehensive composite analysis based on 12 different financial and on-chain models, Ethereum’s intrinsic value is $5,084.6, 60.6% above its current price of $3,165.6.
The platform aims to calculate the fundamental value of Ethereum independently of price speculation by combining traditional financial metrics (discounted cash flow, revenue multipliers, validator economics) and cryptocurrency-specific metrics (TVL multiplier, MC/TVL, Metcalfe’s Law, staking scarcity, L2 ecosystem, payment layer economics). Kim said the industry needs a “more rigorous, fundamentals-based” valuation framework.
ETH price rose 2.1% in the past 24 hours to $3,162, giving it a market cap of $382.1 billion. However, Ethereum’s year-over-year performance compared to the overall crypto market decreased by 22.9%.
The platform also creates an Ethereum investment trends dashboard by analyzing each valuation model individually. Most models show that ETH is significantly undervalued.
- Metcalf’s Law: 9,981.3 – +215%
- DCF (Staking): 9,496.9 – +200%
- Validator economics: 8,034.6 – +153%
- Permanent population: 5,105.8 – +61%
- Commitment premium: 5,306.8 – +67%
- App capital: 4,936.8 – +55%
On the other hand, there are two models that suggest ETH is overvalued.
- P/S ratio (25x): 936.1 – -70%
- Profit margin: 1,583.9 – -50%
*This is not investment advice.
