Name: Ethereum Can Dominate Crypto and Still Be a Bad Investment w/ Christopher Keshian
Uploaded: 2026-01-14T19:45:06+00:00
Duration: 2210 s

Speakers

Christopher Keshian — Founder, Triton Liquid Fund

LG — Host, Milk Road Show

Summary

In this Milk Road Show episode, Christopher Keshian of Triton Liquid Fund argues that Ethereum can remain the dominant on-chain finance ecosystem while ETH itself is overvalued and may not deliver strong returns. He explains that fee-based DCF, commodity, and money frameworks do not justify ETH's market cap, and that value leaks to L2s and stablecoins. He also outlines Triton's bullish views on DeFi, perp DEXs, layer-1 blockchains, and application-layer tokens, plus a framework for monitoring crypto cycles and macro liquidity. The host notes Milk Road is long ETH.

Christopher Keshian argues ETH is overvalued despite Ethereum's ecosystem strength.
He says L2s and stablecoins capture value that does not accrue to ETH.
ETH could become attractive if supply turns sustainably deflationary or it becomes a monetary denominator.
Triton is bullish on DeFi due to low P/E multiples and token value accrual.
Triton likes perp DEXs, including Hyperliquid and Lighter, for on-chain derivatives growth.
Triton is most bullish on layer-1s in absolute terms but holds only one.
Triton is shifting toward application-layer tokens with strong founders and value accrual.
The host states Milk Road is long Ethereum; the guest does not hold ETH.

Ideas

Christopher Keshian Founder, Triton Liquid Fund 0:00

ETH overvalued despite ecosystem dominance

Ethereum can remain the dominant ecosystem for on-chain finance, but the speaker argues that success does not accrue to ETH holders. A discounted cash flow of fee cash flows and an internet-native commodity framework both suggest the current market valuation is wildly overstated; L2s absorb activity and value, and stablecoins—not ETH—are becoming the transaction denominator. Triton does not hold ETH because the current valuation cannot be fundamentally justified.

LG Host, Milk Road Show 2:59

Milk Road is long Ethereum

LG states that Milk Road is very hot on Ethereum and that ETH is a big part of the Milk Road Pro portfolio. This is a clear bullish holding stance, though the host provides little supporting rationale.

Christopher Keshian Founder, Triton Liquid Fund 19:46

Layer 1s attract most inflows

In absolute terms, Triton is most bullish on layer-one blockchains because that is where the most market cap resides and likely where the greatest volume of inflows will go. They model L1s using network use, developer activity, economic sustainability, and capital flows, and they hold only one L1.

Christopher Keshian Founder, Triton Liquid Fund 20:02

Application tokens drive next wave

Triton is increasingly moving to the applications layer of crypto, where they expect the next wave of real price expansion. The edge is selecting strong companies and founders launching products that actually accrue value to the token, as this cycle shows greater retention of users and narratives than prior cycles.

Christopher Keshian Founder, Triton Liquid Fund 22:57

DeFi low multiples, value accrual

DeFi is a large portion of Triton's book and, fundamentally, is far and away the crypto category that generates the most revenue accruing to token holders. DeFi assets have not experienced multiple expansion, and price-to-earnings ratios are very low relative to tech, so he expects them to be strong winners as the broader market becomes more favorable.

Christopher Keshian Founder, Triton Liquid Fund 23:06

Perp DEX growth to accelerate

The perpetualization of most assets on decentralized derivative exchanges will increase exponentially because users blocked from certain markets will seek on-chain exposure to S&P-like indices, individual stocks, and commodities for hedging or long-term directional exposure. Triton holds Lighter and has seen Hyperliquid perform extremely well.

Ethereum Can Dominate Crypto and Still Be a Bad Investment w/ Christopher Keshian

Summary

Ideas

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