The cryptocurrency industry is still growing, attracting more investors to take advantage of the various advantages of the industry. Additionally, the number of new cryptocurrencies entering the market is also accelerating, with creators looking to harness the benefits of blockchain technology.

Growth of the cryptocurrency market in 2021

According to data acquired by the Crypto Parrot cryptocurrency trading simulator, between September 2020 and September 2021, 4,908 new cryptocurrencies were launched, bringing the cumulative number of coins to 12,046. In recent months, the number of new cryptocurrencies has increased by 68.75% compared to the figure of 7,138 in September 2020.

The highest growth rate was recorded between September 2019 and September 2020 at 146.98%, from 2,890 to 7,138. During the period, 4,248 cryptocurrencies were added. Elsewhere, the growth rate of new cryptocurrency launches between September 2018 and September 2019 was 46.18%, from 1,977 to 2,890. In 2017, the number of coins was 1,121.

Growth in crypto value pushes new coins to join the market

The report highlights some of the factors driving the growth of new cryptocurrencies over the past 12 months. According to the research report:

“The industry has appreciated in value at one point, reaching a cumulative market capitalization of around $ 2 trillion. The popularity has skyrocketed as digital currencies entered the mainstream, supported by institutional investors. In particular, the entry of institutions partly contributes to the maturity of the sector. , and the creators of new pieces don’t want to miss the opportunity to get more feedback. “

In general, it should be mentioned that the emergence of new cryptocurrencies does not necessarily translate into success. Notably, some pieces unusually fade as the audience avoids them.

However, the tokens likely to survive are those with real-life use cases focused on mainstream adoption.

Become a subscriber to App Developer Magazine for just $ 5.99 per month and enjoy all of these benefits.

Leave a Reply

Your email address will not be published.