Vitalik Buterin says public companies that buy and hold Ether broaden the token’s access to a wider range of investors, but cautioned on leveraging too heavily.
Ethereum co-founder Vitalik Buterin has thrown support behind so-called Ether treasury companies, but warned the trend could spiral into an “overleveraged game” if not handled responsibly.
In an interview with the Bankless podcast released on Thursday, Buterin said the growing number of public companies buying and holding Ether (ETH) was valuable as they expose the token to a broader range of investors.
“There’s definitely valuable services that are being provided there,” Buterin said. He added that companies buying into ETH treasury firms instead of holding the token directly gives people “more options,” especially those with “different financial circumstances.”
