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2022 Sees 5000+ New Cryptos Despite Rough Market Conditions

Published 10/29/2022, 05:59 AM
Updated 10/29/2022, 06:00 AM
2022 Sees 5000+ New Cryptos Despite Rough Market Conditions
BTC/USD
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  • 5,317 new digital currencies were launched this year.
  • Developers still believe that a huge rally is in the cards.
  • Developers could be taking advantage of the downward momentum to build projects.

Crypto developers seem to be unphased by the hostile conditions in the crypto market throughout 2022. This is evident in the fact that about 5,317 new digital currencies were launched this year, according to data from CoinMarketCap.

This means that the amount of assets now stacked by the market tracking website stands at 21,555, which is 32% higher than the 16,238 assets that were recorded on January 1.

This increase in the amount of digital assets goes against what anyone expected considering the current situation in the crypto market should deter new participants from joining the space.

Adding to the surprise is the fact that the total crypto market cap plummeted below the $1 trillion mark throughout this year despite the new asset additions. On the bright side, this milestone has been reclaimed through a collective crypto rally over the last few days.

Many believe that developers keep creating cryptocurrencies not only in an obvious attempt to earn money, but also to recreate the success of the crypto king Bitcoin (BTC). BTC has already been accepted as legal tender in El Salvador and is accepted by more than 15,000 businesses across the globe as a mode of payment.

Historically, new currencies enter the crypto market after a bull run, but this is not the case in 2022. The addition of more than 5,000 new cryptocurrencies could mean that developers still believe that a huge rally is in the cards.

On the other hand, it could also mean that developers are merely taking advantage of the downward momentum to build projects that will be introduced during the next bull cycle.

The post 2022 Sees 5000+ New Cryptos Despite Rough Market Conditions appeared first on Coin Edition.

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