Geoffrey Kendrick, head of digital assets research at Standard Chartered, has identified four altcoins he expects to capture significant value as tokenization becomes mainstream in traditional finance. The tokens are Uniswap (UNI), Aave (AAVE), Morpho (MORPHO), and Arbitrum (ARB).
Uniswap: Token Burns and Competitive Advantage
Kendrick set a year-end 2024 target of $6.50 on UNI when it traded below $3 in June. The token has since moved above $9. He previously set a 2030 target of $100, which he now suggests may be too conservative.
His thesis centers on Uniswap's fee switch, activated in December, which directs trading fees toward token buybacks and burns. Summer activity from Robinhood Chain significantly increased the burn rate. Kendrick points to Uniswap's competitive moat, noting that rival protocols such as Aerodrome initially attracted users through rewards but saw them return to Uniswap once incentives ended.
Aave: Banking Infrastructure On-Chain
Aave experienced an indirect impact from a roughly $300 million exploit linked to Kelp in April. Kendrick said the community's response strengthened his conviction in the protocol. The community raised approximately $300 million in compensation, founder adjustments to risk parameters were made, and liquidity normalized within weeks.
Kendrick describes Aave as the leader in on-chain banking. At its peak last year, he noted it would have ranked as approximately the 35th largest bank in the United States. He previously set a year-end target of $180 for AAVE and now views that target as too low. His 2030 target is $3,500.
Morpho: Asset Management Platform
Kendrick does not view Morpho and Aave as direct competitors. While Aave functions as a bank accepting deposits and issuing loans, Morpho operates as a platform for asset managers through its vault product. He believes both protocols can succeed in their respective roles.
Morpho's token is predominantly held by venture funds, resulting in lower volatility and liquidity compared to AAVE, which is driven primarily by retail traders. Kendrick expects Morpho to lead the on-chain asset management space over the medium term. His 2030 target for MORPHO is $60.
Arbitrum: Revenue Growth From Layer 2 Technology
Kendrick's $10 target for ARB represents his most aggressive call, set at approximately 70 times the token's price at publication. ARB has risen more than 60% since that announcement.
Arbitrum receives 10% of net revenue from Robinhood Chain in exchange for supplying the underlying technology. This arrangement increased Arbitrum's monthly revenue from roughly $1 million to an estimated $4 million to $5 million in September. If four or five additional firms adopt Robinhood's model, Kendrick projects monthly revenue could reach $40 million to $50 million within two years.
Kendrick also notes that Arbitrum's valuation multiple trades at approximately 30 times lower than layer 1 networks such as Ethereum, Solana, and Avalanche.
