Crypto Industry Poised for Major Growth, Outperforming Early Internet: Architect Partners

Architect Partners highlighted that the industry saw an increase of over $750 billion in value during the first half of the year.

Described as the “stepchild of the internet,” crypto is now surpassing its predecessor at a comparable stage in their development, according to the advisory firm.

The digital asset industry is not only starting a major growth phase but is also in a much stronger position than it was two years ago, stated investment bank Architect Partners in their quarterly report released last week.

The report noted that the crypto industry’s value surged by over $750 billion in the first half of the year. This growth was fueled by a rise in the value of crypto tokens, amounting to over $700 billion, the successful launch of spot bitcoin (BTC) exchange-traded funds (ETFs) in the U.S., attracting over $15 billion, and the increase in the value of publicly listed crypto companies, which contributed an additional $11 billion.

Crypto and the internet share many disruptive characteristics, the report stated, emphasizing that the cryptocurrency market is rebounding from the so-called crypto winter much faster than the internet recovered after the dot-com bubble burst in 2000.

“Interestingly, crypto has been seen as the stepchild of the internet,” but it is now outperforming the early internet and “has exceeded the internet’s value at the same stage in their respective life cycles,” Architect Partners noted.

The report also mentioned that deal activity is surging, with transaction values in the second quarter reaching a record $2.7 billion, surpassing the total value of deals from the previous eight quarters combined. Architect Partners observed that confidence and momentum have returned to the markets, marking the end of the crypto winter. They emphasized that “professionalism, risk management, ethical behavior, and ‘doing it right’ are finally becoming the core principles of the crypto industry.”