Altcoins Are Not Dead, but the Easy Money Era Is Over: CryptoQuant Founder

CryptoQuant founder Ki Young Ju says altcoins are not dead, but not all will thrive as before, particularly as the crypto market matures.

For years, the altcoin market thrived on narratives. A compelling story, capturing a trending sector, or a viral community was often enough to push token valuations higher. According to CryptoQuant’s Ki Young Ju, that era has largely come to an end.

In an X thread, Ju argued that altcoins themselves are “not dead.” However, the market is becoming far less favorable toward projects that rely solely on hype and narrative. As institutional capital enters the crypto space and regulators become more involved, investors are paying closer attention to a select group of altcoins with long-term potential.

Notably, his comments come amid a broader shift visible across the crypto market in the previous bull run. While Bitcoin continued to attract capital from traditional finance, many altcoins struggled to regain the momentum they enjoyed during previous market cycles.

Hype Alone No Longer Drives the Market

Ju believes the biggest change in today’s crypto market is that simply launching a token is no longer enough to create lasting value. He suggested that the era of making easy money through token issuance is fading.

During previous altcoin cycles, capital often flowed rapidly between emerging narratives. Decentralized finance (DeFi), non-fungible tokens (NFTs), gaming projects, and memecoins each experienced periods of explosive enthusiasm. In many cases, token prices surged long before projects generated meaningful revenue or demonstrated sustainable demand, simply because they are in a trending narrative.

According to Ju, that dynamic appears to be fading. He noted that projects most likely to remain relevant are those connected to real businesses, functioning products, and established ecosystems. This suggests that the crypto market is increasingly distinguishing between speculative narratives and platforms that can demonstrate actual economic activity.

Investors Shift Toward Three Groups of Altcoins

Furthermore, Ju highlighted three groups of altcoins that “still make sense” to him. Specifically, he mentioned projects with tokenized market layers, DeFi services with actual revenue, and ecosystems that align with the broader financial trends as those that will continue to attract investors.

The CryptoQuant founder pointed to assets such as Binance’s BNB and Telegram’s GRAM (formerly TON) as examples of tokens linked to large-scale platforms with active user bases and established revenue streams. In his view, they provide exposure to their underlying ecosystems rather than relying solely on speculation.

Ju also emphasized the importance of DeFi protocols that generate meaningful fees through actual usage. Platforms that serve real demand, are profitable, and have credible founders are better bets than hype projects. Ju mentioned Hyperliquid (HYPE) in this category.

At the same time, he believes some of the most promising opportunities are emerging from broader financial trends. Stablecoins, tokenized real-world assets, tokenized equities, and blockchain-based financial infrastructure are increasingly attracting attention from both crypto-native participants and traditional institutions.

Unlike earlier cycles, where capital largely circulated within the crypto ecosystem itself, these sectors connect blockchain technology with traditional financial markets and services. He noted that the market is starting to understand the purposes that blockchain technology serves, bringing in more liquidity to the sector.

Crypto May Look More Like Wall Street in the Future

Additionally, Ju highlighted how dramatically the culture of crypto has changed.

He described the industry’s early years as resembling jazz, which meant unpredictable, experimental, and driven by a spirit of freedom. Today, he sees a market increasingly shaped by regulation, institutional participation, and professional capital allocation, more like Wall Street.

The change has benefits. Greater oversight can improve transparency, reduce risk, and encourage broader adoption. Large financial institutions entering the space also bring liquidity and credibility. However, Ju acknowledged that the industry has lost some of its original character along the way.

Looking ahead, he believes the next wave of successful crypto projects may emerge from sectors that extend beyond traditional blockchain use cases. As artificial intelligence becomes more integrated into everyday digital systems, blockchain infrastructure designed for autonomous AI agents could become an important area of development.

Ju agrees with critics who argue that 99.9% of altcoins lack long-term value. Yet he insists that it is prejudiced to suggest all are irrelevant.