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The number of cryptocurrency platforms in the Forbes Fintech 50 list has decreased from nine to five this year, the financial and economic magazine notes.
This year was marked by a decline in the marketthe value of cryptocurrencies by $1.4 trillion amid the collapse of FTX in November last year. Also this year, several other major players have filed for bankruptcy - crypto lenders Genesis and BlockFi, as well as the multi-billion dollar hedge fund Three Arrows Capital. Nine cryptocurrency and blockchain companies, including FTX, made the Fintech 50 list last year, but now the number of participants has been reduced to five.
Firms on the 2023 list includeWeb3 development platform Alchemy, analytics platform Chainalysis, cryptocurrency storage technology provider Fireblocks, blockchain infrastructure provider Paxos, and tax compliance company TaxBit. This suggests that there is still high demand, including from governments, for infrastructure, cryptanalytics and service providers in the crypto industry, writes Forbes.
In fact, these firms have attracted a total of$3.1 billion in 2023. Alchemy generates more than $150 billion worth of cryptocurrencies in annual turnover. Chainalysis, which was launched back in 2014, has become the main mechanism in crypto investigations by both the government and the private sector. And Fireblocks has evolved from a cryptocurrency storage technology provider to a full-service platform that supports nearly 130 million crypto wallets.
This year's newcomer, TaxBit, which is based inUtah, has already become a key partner of the Internal Revenue Service (IRS). The firm, which is valued at $1.3 billion, is also partnering with TurboTax to help users easily add cryptocurrency gains and losses to their tax returns.
Recently, the US Securities and Exchange Commission(SEC) has taken strong action against the leading crypto exchanges in the country. On Tuesday, the SEC filed a lawsuit against Coinbase, accusing the company of acting as an unregistered broker and exchange. The Commission also accused the largest cryptocurrency exchange Binance and its founder of creating a "network of deception", inflating trading volume, diverting clients' assets and trading in unregistered securities.