A new report by AlphaQuest has dubbed Cardano and Terra as ecosystems harboring a record number of dead coins.
Per the report, the Terra and Cardano ecosystems are among the top ten categories with the most dead coins.
Also Read: Cardano Weekly Price: ADA Eyes $1
Why do projects die?
Per the AlphaQuest report, nearly 65% of the crypto projects will have died down in 2023 due to the low interest of investors in the sector.
To elaborate further, “nearly 93% of dead coins have low liquidity or low trading volume, which shows that the investors’ interest has died down.”
“More than half (58%) of these unsuccessful coins had Twitter accounts or websites that were either inactive or deleted, indicating a lack of continuous social engagement or operational presence. Furthermore, almost half (48%) were removed from major tracking platforms such as CoinMarketCap, solidifying.” The report shared.
AlphaQuest has curated its report after evaluating 12,000 crypto projects listed on CoinMarketCap. The firm later subcategorized these projects based on low liquidity, inactivity, down websites, and delisting to present its synopsis.
Among other significant findings, AlphaQuest noted how 32% of crypto projects crashed after the collapse of FTX.
“More than one-third (35%) of crypto projects are dead after the Terra crash.” The report is shared.
Cardano and Terra Tops List as Ecosystems With Most Deadcoins.
The report streamlines Cardano and Terra as blockchain systems carrying the most dead projects. The synopsis has come to light at a time when Cardano was recently dubbed a sh*t coin by BitMEX’s CEO Arthur Hayes.
For all you $ADA believers, what dAPP on this list originally launched on Cardano, or has a Cardano offering that is heavily used? From my very limited knowledge, looks like none of them do. That’s why $ADA is dog shit. @IOHK_Charles pls educate me.
Yachtzee
pic.twitter.com/riQORI6Ipy
— Arthur Hayes (@CryptoHayes) February 21, 2024
However, contrary to this analysis, a recent report by analytics firm Messari has dubbed Cardano a rising star in the crypto domain.
Messari shared how Cardano’s TVL is up 166%, with its token ADA outperforming its set expectations.
Also Read: BitMEX CEO Arthur Hayes Blasts Cardano on X, Prompting Hoskinson to React
