Figures: Report Shows: How Many Altcoins Have Died in the Last 10 Years

🙋CoinGecko's latest report details the bankruptcy rate of crypto assets over the past 10 years. The report shows that the number of altcoins that have "died" has increased over the years as projects have been deactivated, rebranded, lost trading activity, or have been exposed as fraudulent.
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💫 11.01% bounce rate in the bitcoin industry
In the first half of the decade studied by CoinGecko, 1546 crypto assets died, or 11.01% of the total.
37 crypto assets died in 2014, a smaller number - 27 in 2015, and ended the period in 2016 with 32 death coins. As you can see from the graph below, between 2014 and 2016, 96 crypto assets died in three years, which is less than 1% of the total number of altcoins that died in the last decade.
As CoinGecko explains, during the bull market of 2017-2018, almost 1500 initiated projects were closed:
In contrast, 1,450 projects launched during the 2017-2018 bull market were later shut down. This is against the backdrop of more than 3,000 crypto assets listed on the exchange, resulting in a similar bounce rate of ~70%.
🙋 Over the past five years, the number of failed projects has increased
The report shows that more than 88% of bankrupt crypto assets occur in the second half of the analysis period. In 2019 alone, there were 50 more than in 2018, and the number of bankrupt crypto assets reached 1150, which is close to the total number of dead coins in the first half of the year.
However, most of the crypto assets that died came from the 2020-2021 bull market. "During the last bull market, more than 11,000 crypto assets were listed on CoinGecko, and about 70% of these crypto assets closed after the end of the bull market," they detailed. 7,530 crypto assets failed in projects launched during 2020-2021, accounting for 53.6% of all dead coins.
2021 was the worst year for crypto assets to suffer losses, with 5,724 crypto assets dying, and it was also the worst year for launching crypto asset projects, with over 70% of crypto assets dying as of January 2024.
The report attributes a large number of failures in 2020-2021 to "the ease of token deployment and the growing popularity of meme coins." They point out that many Memecoin projects launch without products, and most of them are "abandoned in a very short period of time."
In 2022, the number of failed projects decreased compared to the previous year, with a total of 3,520 projects dying. Among all the listed crypto assets, the ratio is 60%.
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After all, in 2023, the number of failed projects decreased even more, with only 289 of the more than 4,000 crypto assets listed on CoinGecko dying. This means that the bounce rate is less than 10%.
However, despite the decline in the number of dead crypto assets over the past two years, perhaps hinting at a more positive trend, the exact percentage of failed projects launched in 2023 is still 289. It remains to be seen whether this trend will continue in the coming months, or if the rise of a new bull market will push this nascent space back to the peak of altcoin failures.
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