Chainlink co-founder Sergey Nazarov stated that the ongoing stagnation in the crypto market has two key distinctions compared to previous bear cycles. While price action remains weak, Nazarov emphasized that the underlying structure of the market looks fundamentally different.
Nazarov highlighted that this cycle has not seen a major institutional collapse or a large-scale systemic risk event comparable to FTX. He noted that this reflects a maturing ecosystem that has become more resilient to volatility and more capable in terms of risk management.
The second major difference, according to Nazarov, is the continued expansion of real-world asset tokenization and on-chain futures and perpetual markets linked to traditional commodities, despite overall price pressure. He argued that innovation in these areas carries intrinsic value that is not solely dependent on speculative price cycles.
Nazarov concluded that the growing on-chain RWA economy is not directly correlated with crypto asset prices, signaling a potential structural shift. If the tokenization trend continues, he suggested that the total value of on-chain RWAs could eventually surpass the overall crypto market capitalization, marking a transformative phase for the industry.
