Bloomberg reports on 12 100 cryptocurrencies becoming “zombies”

Analysts attribute this situation to a prolonged bear market

04.10.2022 - 08:15

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What’s new? Bloomberg reports, citing data from aggregator Nomics, that 12 100 tokens became “zombies” in 2022. This means that there has been no trading with them for at least a month. Analysts noted that this figure is twice as high as in all previous years combined. Experts attribute this surge to the ongoing downturn in the market.

Bloomberg’s material

More details about the situation. According to Nomics co-founder Nick Gauthier, it is hard to gauge the scope or seriousness of “zombie projects.” He added that most of them are memes, short-term leveraged assets, or small personal projects created for joy.

He also noted that last week only 13 800 of the 64 400 assets tracked by Nomics had daily trades. According to Gauthier, there are many projects that are almost dead, meaning their assets are trading at fractions of a cent.

Despite the large number of cryptocurrencies that did not survive the crypto winter, there was a 16% increase in trading volumes on crypto exchanges in September, according to The Block. In total, this indicator was $733,8 billion, showing positive dynamics for the first time since May 2022.

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