Augusta Free Press: Just five cryptocurrencies account for 75% of the market capitalization

Article Reading Time:
2 minutes.

Augusta Free Press analysts estimate that the number of cryptocurrencies increased from 6,000 to 10,400 from July 2021 to February 2022.

By August 2022, the number of cryptocurrenciesdropped to just over 10 000 coins. For comparison, the number of such digital assets in 2013 was only 60. And in 2020 there are already 4,500. From 2021 to 2022, the number of cryptocurrencies has doubled. Experts call the growth phenomenal.

“Only for the first half of 2021 the market1,500 new digital assets were released, and in July their number exceeded 6,000. At the end of last year, about 1,000 new cryptocurrencies were added to the market every month,” the publication says.

Analysts note that despite the surgenumber of digital currencies, only five crypto projects provide more than 75% of the market capitalization of digital assets. Bitcoin, which was close to $70,000 in November 2021, August 31 
is trading just above $20,000, and its market capitalization is about $389 billion. With this market capitalization, Bitcoin occupies 40% of the total market capitalization of cryptocurrencies.

Ethereum is the next cryptocurrency with20% of total market capitalization. The top five cryptocurrencies are complemented by stablecoins USDT, USDC and BNB. This means that the remaining approximately 10,000 cryptocurrencies account for only 24% of the total market capitalization. At the same time, according to the cryptocurrency market capitalization aggregator CoinMarketCap, now on the market 
There are 9,606 cryptocurrencies.

Recently Head of Digital Assetsinvestment bank JPMorgan Umar Farroq said that most of the cryptocurrencies on the market are garbage, since they have no real application.