Ether, the native token of the Ethereum blockchain, is the world’s second-most-valuable cryptocurrency. Ether initially used a proof-of-work model but transitioned to proof-of-stake in 2022, after which it could no longer be mined but could be staked for rewards. The asset also supports smart contracts, which enable decentralized applications and other crypto assets. Unlike some other major cryptocurrencies, Ether does not have a maximum supply limit, with a circulating supply of 121 million tokens.
Ethereum maintained the largest blockchain developer community at the end of 2025. While its base layer is slower than some newer proof-of-stake blockchains, it uses Layer 2 rollups to process transactions more quickly and narrow that performance gap. The first spot-price exchange-traded funds for Ether were approved in 2024, but they lacked staking rewards. In the fourth quarter of 2025, two ETFs that include staking rewards became available.
The approval of more such funds could draw additional investors. Ether is considered a blue-chip cryptocurrency. Over the next decade, the Ethereum network plans to implement several major upgrades aimed at improving scalability, reducing congestion and fees, and increasing efficiency. These improvements are expected to boost network activity and application development.
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