- Galaxy Digital CEO Mike Novogratz said XRP and ADA could be left behind in the next market cycle if they rely solely on a strong community.
- He said the crypto market is being reshaped around business-based projects, and projects with clear business models and revenue structures are gaining attention.
- Novogratz explained that without clearly proving real utility and economic value, it is difficult to be valued by the market.
- The article was summarized using an artificial intelligence-based language model.
- Due to the nature of the technology, key content in the text may be excluded or different from the facts.
It was pointed out that crypto assets that rely on strong community loyalty, like XRP and ADA, could be left behind in the next market cycle if they fail to demonstrate tangible utility.
On the 26th (local time), according to crypto-focused media Crypto Briefing, Mike Novogratz, CEO of crypto financial services firm Galaxy Digital, said the current crypto market is being reorganized around business-backed projects with substance.
Novogratz said, "The crypto market is increasingly moving around projects with clear business models and revenue structures," adding, "In a situation where many competing projects emerge each cycle, relying solely on the community has low long-term sustainability."
He directly mentioned XRP and ADA, explaining, "A strong community is an important factor, but it alone is not enough," and, "If they fail to clearly demonstrate real use cases and economic value, it will be difficult to be evaluated by the market."
He added, "Going forward, only projects that prove clear utility and tangible revenue models are likely to survive," and, "The crypto asset ecosystem as a whole is gradually entering a maturation phase."
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