Will there be more tokens launched this autumn?
“I think we’re in a new cycle,” PitchBook’s Robert Le told Blockworks.
“In the last six months to maybe even a year, we’ve been in the same cycle in terms of sentiment, increasing capital going into the space and more developers coming and building. So last quarter, I think, maybe there was a little bit of a lull,” He also added.
Le is feeling very positive and believes it will only be a matter time before projects announce more token launches.
There are currently no plans in place for the fourth and third quarters this year. “prisoner’s dilemma” Where people are trying to find out “how the market is going to move” When launching their products, it is important to consider the timing.
“Everyone’s playing the waiting game to see,” “, he said. The projects would like to see the market move up but they also want to have their tokens launched first. There could still be an obstacle. “tipping point” We can launch products in any market, regardless of the ideal conditions. “full force” Bull Market
Data from the Tie Terminal shows that token unlocks are scarce. Data from the Tie Terminal shows that token unlocks also aren’t plentiful.
Above, you can see that the SUI unlocking worth $350,000,000 is the most significant unlocking in September.
Le believes that the market could be preparing for a bull run. “sometime next year,” The election, according to him, will have no impact on cryptocurrency.
Crypto is analogous to analogue “abused child” In search of Love, Trump notes that he is the first candidate to pay such attention to the music industry.
It all comes down to this: “governments don’t like crypto because it’s trying to supplant the traditional financial ecosystem or financial system. It won’t necessarily matter if one party over another supports crypto,” Le said.
“I think the pragmatic way to interact with regulators and lawmakers is to work with both sides,” Le told Blockworks. “And I think the crypto industry needs to learn to do that.”
He said that if Trump had been elected after FTX, then his administration would also have to take a hard line against the industry, just like the Biden Administration and Gary Gensler of the Securities and Exchange Commission.
Venture capital
Compared to the last year, venture capital investment is down, but we are still a long way from what it was in 2022.
“As of July 30, 2024, $2.2 billion has already been raised across 24 funds — a sum on track to surpass 2023’s total capital raised. The rebound can be attributed to the overall recovery of the crypto market, in which the total crypto market cap reached 93% of the previous cycle’s watermark in March 2024,” Le wrote in a report.
Tie Terminal reported that 167 projects raised $981 millions in August. DeFi raised $210 millions, which was the highest amount. The data also shows that the gaming and metaverse sectors are experiencing an increase in activity. $65 million was raised by these segments last month.
Le reported in his report on Friday that, from 25 million dollars last year to 41 million this year, the average fund size had increased by 76%. Many of these funds were midsized (we are talking about $100-500 million).
It is clear that “these funds may represent a sweet spot for crypto investors — big enough to support a growing industry but not so large as to struggle with finding viable opportunities. In an industry still in its relative infancy, $1 billion funds face the challenge of needing to write checks worth $25 million to $50 million, which forces them into high valuations and larger bets in a market where startups of that scale are still scarce,” Le wrote.
Staying under 2022 may even be beneficial, since hype does not always have a lasting effect.
We’ve seen a slight rebound in the economy. “the crypto fundraising environment will stay tough as the market recovers,” Le wrote.
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