Read

A new research report conducted by AlphaQuest and Storible shows that among 12,343 crypto projects investigated, over 8,850 have become defunct in the past year. 
The latest crypto winter wiped out more than half of cryptocurrencies listed on <a href="https://crypto.news/tag/coinmarketcap/" target="_blank" rel="noreferrer noopener">CoinMarketCap</a>, what appears to be a self-purification of the market ahead of a new rally, according to <a href="https://alphaquest.io/blog/dead-coins-report-2024/" target="_blank" rel="noreferrer noopener">data</a> compiled by AlphaQuest. The data shows that 2023 was the toughest year in the 2020-2023 cycle, as nearly 60% of coins bit the dust during that period. 
<figure class="wp-block-image size-large">
 <img loading="lazy" decoding="async" width="1024" height="370" src="https://crypto.news/app/uploads/2024/02/asldfhsduhfk-1024x370.png" alt="Nearly 60% of coins listed on CoinMarketCap died in 2023, data shows - 24" class="wp-image-14249277">
 <figcaption class="wp-element-caption">
 The percentage of dead coins since 2020 | Source: AlphaQuest
 </figcaption>
</figure> 
 You might also like: <a href="https://crypto.news/over-50-of-tokens-listed-on-coingecko-since-2014-have-died-data-shows/"> Over 50% of tokens listed on CoinGecko since 2014 have died, data shows </a> 
Among dead coins, over 90% of the defunct coins met their end due to issues related to low liquidity and dwindling trading volume, indicative of waning investor interest. Furthermore, more than half of these projects ceased updating their websites, while 47.6% were delisted from CoinMarketCap. Additionally, slightly over 35% of the defunct coins exhibited complete inactivity across all accounts on social media. 
<blockquote class="wp-block-quote"> 
 “By analyzing social media activity, investors can stay informed and cautious in the world of cryptocurrency.” 
 AlphaQuest 
</blockquote> 
Moreover, the research underscores a sobering reality: more than 70% (4,834) of crypto projects that emerged during the 2020-2021 bull run have met their demise, with over 30% becoming inactive shortly after the FTX crypto exchange <a href="https://crypto.news/ftx-files-for-chapter-11-bankruptcy-taking-down-about-130-companies-with-it/" target="_blank" rel="noreferrer noopener">filed</a> for bankruptcy. AlphaQuest noted that the majority of these failed ventures (75%) were focused on the video and music sector, with an additional 75% comprising asset-backed stablecoins that faltered amid the bear market’s onslaught. 
 Read more: <a href="https://crypto.news/over-30-of-blockchain-games-are-now-abandoned-data-shows/"> Over 30% of blockchain games are now abandoned, BlockchainGamer says </a>

Nearly 60% of coins listed on CoinMarketCap died in 2023, data shows

crypto.news

Other articles published on Feb 16, 2024

The Era of Web3 in Social Media: Tackling Fake Accounts and Restoring User Control

SEI Could Increase Significantly, Reaching $2: Analyst

Trading patterns show Avalanche (AVAX) holders add DeeStream (DST) to portfolio while Bitcoin (BT...

Revolut plans crypto exchange launch for advanced traders

Bitcoin Short-Term Holders Just Locked In $647 Million In Profits

TC Energy (TRP) Surpasses Q4 Expectations with Earnings Per Share of $1.35

Join our free newsletter for daily crypto updates!