12.1k cryptocurrencies stopped trading this year

 

The study shows that in 2022, twice as many digital tokens ceased to be traded than in all previous years combined. Technically the coins exist, but they are inactive

12.1 thousand cryptocurrencies have turned into “zombies”, i.e. they have not been traded for at least a month, Bloomberg reports citing a study from Nomics. Technically, these tokens exist, but they are inactive.

During the 2021 bull market, many crypto startups have issued their tokens, however, the sharp market downturn in 2022 has made it difficult for even successful projects to maintain operations due to loss of access to funding, let alone startups that have issued coins and withdrew. at ICO, without even having working prototypes, the article says.

The number of “forgotten” cryptocurrencies this year is more than double all previous years combined, according to the report. In 2018, a total of 136 tokens ceased trading, in 2019 – 766, in 2020 there were 1.5 thousand of such coins, and in 2021 – 3.7 thousand.

Additionally, analysts note that even among active coins, trading can be negligible. Out of more than 64,400 assets monitored by nomic, only about 13.8k traded in the last 24 hour period last week. Additionally, there are many coins that aren’t quite “zombie” yet, but are already close to it and trade for a fraction of a penny. One such example was called Terra Luna Classic ($0.0003).

Unlike other industries, in the crypto industry, assets and projects imperceptibly cease to exist. This is one of the reasons why new coins keep appearing and others are being discontinued, researchers say. And so it is possible that the next bull cycle will bring even more new tokens, many of which will become dormant over time.

Simultaneously with the “forgetting” of many cryptocurrenciessales of NFT tokens also decreased This year due to the fall of crypto market. So in June this year, for the first time since June 2021, sales in the NFT market was less than a billion dollars per month.

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