Image created by\u00a0author.<\/p>\n
When it comes to crypto, hype often drives prices higher than actual usage. But sometimes, the opposite happens\u200a\u2014\u200atokens with billions of dollars in value locked inside their protocols trade at surprisingly low market\u00a0caps.<\/p>\n
That\u2019s exactly the case with Pendle<\/strong><\/a>, <\/strong>EigenLayer<\/strong><\/a>, and <\/strong>Lido<\/strong> <\/a>in\u00a02025.<\/p>\n These three projects have enormous amounts of money already staked or locked, yet their Market Cap to TVL ratio (MCAP\/TVL)<\/strong> shows they\u2019re priced far below what their adoption suggests. And that could mean they\u2019re some of the most undervalued tokens this\u00a0year.<\/p>\n Let\u2019s break it\u00a0down.<\/p>\n Before diving into the tokens, let\u2019s quickly explain the\u00a0metric:<\/p>\n Market Cap (MCAP)<\/strong> = token price \u00d7 circulating supply.Total Value Locked (TVL)<\/strong> = how much money is actively staked or locked inside the protocol.Ratio (MCAP\/TVL)<\/strong> = how expensive the token is relative to real\u00a0usage.<\/p>\n Market Cap\/TVL<\/strong>: Ratio showing an asset\u2019s valuation relative to the value locked. A higher number<\/strong> indicates that the asset\u2019s valuation is high<\/strong> relative to the value locked(overvalued<\/strong>).<\/p>\n \ud83d\udc49 Think of it this way: if a bank holds $10 billion in deposits<\/strong> but its stock is only valued at $500 million<\/strong>, it\u2019s probably undervalued.<\/p>\n That\u2019s what we\u2019re seeing with Pendle(PENDLE), Eigen(EIGEN), and Lido(LDO).<\/p>\n \ud83d\udcb0 TVL:<\/strong> $13.37B | MCAP\/TVL: 0.065 \ud83d\udcb0 TVL:<\/strong> $19.62B | MCAP\/TVL: 0.031 \ud83d\udcb0 TVL:<\/strong> $39.62B | MCAP\/TVL: 0.028 https:\/\/medium.com\/media\/ca85a111b33dd012b1dd61c4835fc70c\/href<\/a><\/p>\n (Data snapshot made in September 2025)<\/em><\/p>\n Ethereum is fundamental to the existence and value of Pendle, Eigen, and Lido<\/strong>. All three protocols are built on top of the Ethereum blockchain and are designed to enhance the Ethereum ecosystem, specifically its staking and DeFi capabilities<\/strong>. They are not independent cryptocurrencies but rather \u201cLayer 2\u201d or \u201cmiddleware\u201d solutions that rely on Ethereum\u2019s security and infrastructure.<\/p>\n Lido:<\/strong> As the largest liquid staking protocol, Lido\u2019s entire purpose is to make Ethereum staking more accessible. It directly enables users to stake ETH<\/strong> and participate in securing the Ethereum network. Its value is directly tied to the health and demand for Ethereum.<\/p>\n EigenLayer:<\/strong> This protocol is built on the concept of \u201crestaking\u201d Ethereum. It uses ETH and liquid staking tokens<\/strong> (like Lido\u2019s stETH) to extend Ethereum\u2019s security to other protocols. Without the staked ETH from the Ethereum network, EigenLayer could not\u00a0exist.<\/p>\n Pendle:<\/strong> While Pendle works with various yield-bearing assets, a significant portion of its activity and TVL comes from tokens within the Ethereum ecosystem, such as liquid staking tokens from Lido<\/strong>. Pendle\u2019s ability to create a market for future yield is a direct result of the financial activity and yield generated on Ethereum.<\/p>\n TVL vs Market cap(Chart)<\/p>\n In essence, these projects leverage Ethereum as their base layer, providing services that make Ethereum more capital-efficient and flexible. Their success and potential are inextricably linked to the growth and adoption of the Ethereum\u00a0network.<\/p>\n Yield trading is a financial concept that Pendle enables in the decentralized finance (DeFi) space. It involves separating a yield-bearing asset into two distinct\u00a0tokens:<\/p>\n Principal Token (PT):<\/strong> Represents the initial amount of the asset you deposited. This token can be redeemed for the full principal amount at a future\u00a0date.<\/p>\n Yield Token (YT)<\/strong>: Represents all the future yield that the asset is expected to generate over a specific\u00a0period.<\/p>\n By splitting these components, Pendle allows users to \u201ctrade\u201d the future yield\u00a0stream.<\/p>\n For example, a user who wants to lock in a fixed yield can sell their YT token upfront for a lump sum, while a user who believes the yield will increase can buy the YT token to speculate on a higher\u00a0return.<\/p>\n This creates a market for speculating on or hedging against interest rate movements within the DeFi ecosystem.<\/p>\n Restaking is a mechanism that allows staked ETH to be reused to secure other decentralized applications and protocols, known as Actively Validated Services\u00a0(AVS).<\/p>\n The Problem:<\/strong> Other protocols that want to be decentralized and secure must build and maintain their own validator networks, which is costly and difficult.<\/p>\n The EigenLayer Solution:<\/strong> EigenLayer allows ETH stakers to \u201crestake\u201d their already-staked ETH, extending Ethereum\u2019s robust security to these new protocols. In return for this service, restakers earn additional rewards from the AVS they are securing, creating a new source of\u00a0yield.<\/p>\n This allows new protocols to \u201cborrow\u201d Ethereum\u2019s security and capital, while stakers can earn multiple streams of income from a single staked\u00a0asset.<\/p>\n Liquid staking is a solution to a key problem in Ethereum\u2019s Proof-of-Stake system: the illiquidity of staked\u00a0ETH.<\/strong><\/p>\n The Problem:<\/strong> To become an Ethereum validator, you must lock up 32 ETH, which becomes illiquid. You cannot use this ETH for trading, lending, or any other DeFi activity.<\/p>\n Market cap divided by TVL ratios(Chart)<\/p>\n The Lido Solution:<\/strong> Lido allows users to stake any amount of ETH and, in return, receive a liquid staking token called stETH. This stETH is a tokenized representation of the user\u2019s staked ETH plus any accrued staking\u00a0rewards.<\/p>\n Since stETH is a liquid token, it can be used throughout the DeFi ecosystem as collateral, for yield farming, or traded on exchanges, all while continuing to earn staking rewards from the underlying staked ETH. This provides the user with both staking rewards and the liquidity to use their assets elsewhere.<\/p>\n Related:<\/strong> 5 Best Cryptos Like XRP for\u00a02025<\/a><\/p>\n Pendle, EigenLayer, and Lido each have billions already locked in their ecosystems<\/strong>, yet their valuations remain far below that activity. For new investors, MCAP\/TVL is a simple but powerful way to spot tokens where adoption might be outpacing market\u00a0hype.<\/p>\n In a bull market where overvalued coins often steal the spotlight, these three could be the quiet giants of\u00a02025<\/strong>.<\/p>\n \ud83d\udea8 Always DYOR <\/strong>(Do Your Own Research). Low ratios don\u2019t guarantee profits\u200a\u2014\u200abut they do signal where real usage might be hiding behind the\u00a0noise.<\/p>\n \ud83d\udce5 Free PDF: 10 Altcoins for 2025\u20132026<\/em><\/strong> => https:\/\/linkly.link\/2FFKK<\/a><\/p>\n Why Pendle, Eigen, and Lido May Be the Most Undervalued Tokens in 2025<\/a> was originally published in Coinmonks<\/a> on Medium, where people are continuing the conversation by highlighting and responding to this story.<\/p>","protected":false},"excerpt":{"rendered":" I researched 3 ETH-based tokens and found high potentials for 2025 and\u00a0beyond! Image created by\u00a0author. When it comes to crypto, hype often drives prices higher than actual usage. But sometimes, the opposite happens\u200a\u2014\u200atokens with billions of dollars in value locked inside their protocols trade at surprisingly low market\u00a0caps. That\u2019s exactly the case with Pendle, EigenLayer, […]<\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[],"class_list":["post-98660","post","type-post","status-publish","format-standard","hentry","category-interesting"],"_links":{"self":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/98660"}],"collection":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=98660"}],"version-history":[{"count":0,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/98660\/revisions"}],"wp:attachment":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=98660"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=98660"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=98660"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}\ud83e\udde0 Why MCAP\/TVL Matters (in Simple\u00a0Terms)<\/h3>\n
Glossary<\/h4>\n
1. Pendle\u00a0(PENDLE)<\/h4>\n
\ud83d\ude80 Why It\u2019s Undervalued:<\/strong> Pendle lets users tokenize and trade future yields\u200a\u2014\u200aa fast-growing niche in DeFi. With billions already locked in, it\u2019s one of the most active platforms in yield markets.
\ud83d\udcc8 2025 Potential:<\/strong> As DeFi expands and more investors look to maximize yield strategies, Pendle could see a surge in adoption\u200a\u2014\u200aand its token price may finally catch up to its massive TVL.
\u26a0\ufe0f Risks:<\/strong> Complex product design could limit retail adoption. Success depends on DeFi continuing to\u00a0grow.<\/p>\n2. EigenLayer(EIGEN)<\/h4>\n
\ud83d\ude80 Why It\u2019s Undervalued: <\/strong>EigenLayer powers \u201crestaking\u201d\u200a\u2014\u200aallowing Ethereum stakers to secure multiple protocols with the same ETH. It\u2019s a breakthrough concept in security and capital efficiency.
\ud83d\udcc8 2025 Potential:<\/strong> If restaking becomes a core layer of Ethereum\u2019s ecosystem, Eigen could cement itself as a foundational project. A ratio this low suggests the market hasn\u2019t priced in its importance yet.
\u26a0\ufe0f Risks:<\/strong> Still early in development, with security and scaling challenges ahead. Regulatory uncertainty around staking could also impact\u00a0growth.<\/p>\n3. Lido\u00a0(LDO)<\/h4>\n
\ud83d\ude80 Why It\u2019s Undervalued:<\/strong> Lido is the largest Ethereum staking platform, holding nearly $40 billion locked. Yet its market cap is tiny compared to its dominance in ETH staking.
\ud83d\udcc8 2025 Potential:<\/strong> As Ethereum demand rises<\/a>, Lido remains the go-to platform for liquid staking. If ETH itself pumps, Lido benefits directly.
\u26a0\ufe0f Risks:<\/strong> Heavy reliance on Ethereum makes it less diversified. Centralization concerns have been raised around Lido\u2019s staking dominance.<\/p>\n\ud83d\udcca Quick Comparison: Undervalued Giants<\/h3>\n
\ud83e\udde0 The Importance of\u00a0Ethereum<\/h3>\n
Explanation of Key\u00a0Terms<\/h3>\n
1. Yield trading in DeFi\u00a0(Pendle)<\/h4>\n
2. Ethereum restaking (EigenLayer)<\/h4>\n
3. ETH liquid staking\u00a0(Lido)<\/h4>\n
\ud83d\udd2e Final\u00a0Thoughts<\/h3>\n