Cracks in the Ethereum Flywheel To get straight to the point, I believe that cracks have appeared in the Ethereum Flywheel. Since the launch of DAT, I believed that the Ethereum Flywheel had started, but that belief has now been shaken. I think the Ethereum Flywheel can only function if two gears, the ETF and the SER (Strategic Ethereum Reserve), mesh together simultaneously. However, looking at the recent Ethereum ETF, it seems that even though there was an inflow from the Bitcoin ETF, it has shown three consecutive days of outflows. Moreover, there is the recent regulatory tightening regarding DAT. In fact, it might not be a big deal when you break it down. It could just be a mechanism to prevent scammers, but the superficial title of 'DAT Company Regulation' is significantly impacting sentiment and prices. Currently, I believe that the two gears, ETF and SER, are not meshing; instead, both are cracking and not functioning. I’ve thought about whether there’s anything that could make this robust again, but nothing comes to mind. I believe that Ethereum has been absorbing an absurd amount in the flywheel, and the supply in the market has been extremely limited, which has driven prices up. Pure narrative? Considering the most recent hot topic, Eigen-Restaking, there’s no answer. Someone needs to buy a lot to increase scarcity, but now that purchasing power has stalled, cracks have appeared in the flywheel. Be cautious.