Ethereum

Ethereum is a public blockchain that can run programs, not just move a currency. Launched in 2015, it introduced the smart contract - code that executes on the network - which is why it became the default home for tokenized real-world assets. Its native currency is ether (ETH), used to pay for computation.

Most of the plumbing of tokenization sits on Ethereum. The common token standards originated here, the largest stablecoins circulate here, and tokenized funds from issuers like BlackRock and Franklin Templeton were launched on it. When builders say an asset is "on-chain," they usually mean on Ethereum or a network closely tied to it.

Every action costs a gas fee, paid in ETH, which compensates the network for running and storing your transaction. In 2022 Ethereum switched from mining to proof-of-stake, cutting its energy use by over 99% and having validators secure the chain by staking ETH instead.

Ethereum's main constraint is throughput: the base chain (layer 1) processes a limited number of transactions, so fees rise when it is busy. The answer is a layer 2 - a faster, cheaper network that settles back to Ethereum for security. Coinbase's Base is one example built this way.

For an RWA investor, what matters is that Ethereum provides the shared, auditable ledger and the programmability a regulated token needs. It does not vouch for any individual token - the quality of the asset and its legal wrapper still decide whether a token is sound.

Source: Ethereum docs (ethereum.org), as of 2026.