Is crypto dead?
It's not. Let's explore the state of crypto through the lens of fundamentals.
In this article, we provide a snapshot of the crypto market with the following metrics:
Fees
Revenue
Token incentives
Earnings
Price to fees (P/F) ratio
Price to sales (P/S) ratio
Daily active users
Active developers
1. Fees
This metric tells us how much end users are willing to pay for the service that a protocol provides.
Examples:
Blockchains = transaction fees
DEXs = trading fees
Lending protocols = interest
NFT marketplaces = royalties and marketplace fees
Cumulative fees to date
To date, the crypto market has generated ~$33B in aggregate fees.
2. Revenue
This metric tells us how much the protocol captures of the fees paid by end users, which means that it’s always some % of the fees.
Ethereum
Uniswap
OpenSea
Aave
Cumulative revenue to date
To date, the crypto market has generated ~$15B in aggregate revenue.
3. Token incentives
This metric tells how much the protocol spends on user acquisition by issuing & distributing its governance tokens to users.
It's worthwhile to analyze this metric as a % of revenue, to get a sense of the economic sustainability of a protocol.
Ethereum
Uniswap
Read the full article on tokenterminal.com for further analysis on:
Token incentives
Earnings
Price to fees (P/F) ratio
Price to sales (P/S) ratio
Daily active users
Active developers
This article is meant for informational purposes only. It is not meant to serve as investment advice. Please consult with your investment, tax, or legal advisor before making any investment decisions.