In a quarterly report released last week, investment bank Architect Partners said the digital asset industry is entering a major growth phase and is performing much better than it was two years ago.
According to the firm, the cryptocurrency industry increased in value by more than $750 billion in the first half of the year, driven by a surge in the value of cryptocurrency tokens, which are worth more than $700 billion. Launch success The rise of U.S. physical Bitcoin (BTC) exchange-traded funds (ETFs) has brought in more than $15 billion, while rising share prices of publicly listed crypto companies have brought in another $11 billion.
The report noted that cryptocurrencies and the internet are both disruptive technologies with very similar characteristics, and that the cryptocurrency market is recovering from the so-called “crypto winter” at a much faster pace than the internet recovered after the dot-com bubble burst in 2000.
“Ironically, cryptocurrency was the stepchild of the internet,” but has now surpassed its predecessor, “surpassing the value of the internet at the same part of their respective lifecycles,” the architect said.
Trading activity is also on the rise, with announced deal volume reaching a record high of $2.7 billion in Q2, surpassing the previous eight quarters combined, the report noted. Architect noted that the crypto winter is over, market confidence and momentum are returning, and “professionalism, risk management, ethical behavior, and 'doing it the right way' are finally becoming fundamental principles in crypto.”
