Chainlink Co-founder: Two Key Differences Between the Current Crypto Market Downturn and Previous Bear Markets
PANews reported on February 10th, citing Cointelegraph, that Chainlink co-founder Sergey Nazarov stated that the current crypto market downturn differs from previous bear markets in two key ways. Nazarov pointed out that this cycle has not seen large-scale institutional risk outbursts or systemic risk events like those experienced by FTX, indicating that the industry's ability to cope with volatility has improved. Simultaneously, the tokenization of real-world assets and the on-chain perpetual contract market for traditional commodities continue to grow, suggesting that these innovations possess intrinsic value independent of cryptocurrency price fluctuations.
Nazarov believes this proves that the value of on-chain real-world assets is not entirely tied to cryptocurrency prices, but rather grows based on their unique intrinsic value. He predicts that if this trend continues, the total value of on-chain RWA will eventually surpass that of cryptocurrencies, fundamentally changing the industry structure.
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BitGo’s move creates further competition in a burgeoning European crypto market that is expected to generate $26 billion revenue this year, according to one estimate. BitGo, a digital asset infrastructure company with more than $100 billion in assets under custody, has received an extension of its license from Germany’s Federal Financial Supervisory Authority (BaFin), enabling it to offer crypto services to European investors. The company said its local subsidiary, BitGo Europe, can now provide custody, staking, transfer, and trading services. Institutional clients will also have access to an over-the-counter (OTC) trading desk and multiple liquidity venues.The extension builds on BitGo’s previous Markets-in-Crypto-Assets (MiCA) license, also issued by BaFIN, and adds trading to the existing custody, transfer and staking services. BitGo acquired its initial MiCA license in May 2025, which allowed it to offer certain services to traditional institutions and crypto native companies in the European Union.Read more
