Key Insights:
- Crypto news from Delphi Digital showed that infrastructure tokens are losing their dominance as blockspace becomes a cheap commodity.
- Stablecoins now work as a global financial rail and are rivalling payment giants like Visa.
- Institutional capital is moving toward crypto equities and revenue-generating apps.
As per the latest crypto news, investors used to follow a simple plan during every market cycle. They would buy Bitcoin, wait for the halving, and then rotate into infrastructure tokens.
This new crypto strategy worked because it was predictable. If Bitcoin surged, the rest of the market followed.
However, recent data shows that this shared winning experience has officially ended.
The market has entered a period of extreme disparity, and many older tokens are lagging while specific sectors are sprinting.
Crypto News: The New Strategy And Heavy Competition
For a decade, crypto held a monopoly on high-risk speculative capital.
If an investor wanted a chance at massive returns, they immediately thought of crypto prices. However, that reality has changed.
According to the latest crypto news updates, the digital assets now compete with other technologies for every dollar of liquidity.
Private investment in AI reached $35 billion in 2024, and this is an 8.5x increase compared to only two years ago. Robotics and biotech startups are also pulling in billions every quarter.
Investors who used to buy mid-cap altcoins are now looking at Silicon Valley hardware.
Institutional money is also choosing different vehicles. Instead of holding crypto assets, big players now buy crypto stocks like Coinbase, Robinhood, and Galaxy Digital.
These companies tend to outperform the tokens they support, and the money that once flowed into the crypto market is being blocked by these cash-flowing firms.
Why is Infrastructure No Longer the Gold Mine?
The “Fat Protocol” theory was once very popular in the crypto news section.
For context, this theory said that most value would stay with base layer crypto like Ethereum or Solana. The logic used to be that block space was scarce, but that era of scarcity is over because infrastructure has become a commodity.
Data availability costs are racing toward zero, and execution is moving to a sea of rollups and app-chains.
When blockspace is not only abundant but also cheap, the protocol loses its ability to charge high fees.
Investors are now looking for Real Economic Value (REV) and are moving away from Total Value Locked because that metric is easy to fake.
Instead, they now want to see actual fees paid by real users.
Crypto Market: Strange Relationship Between Bitcoin and Gold
The macro environment around the world is acting in strange ways, which has made headlines in the crypto news column. The Federal Reserve recently pivoted after removing $2.4 trillion through tightening.
This means that we are finally in a positive liquidity environment. Yet, Bitcoin (BTC) has stayed sluggish while gold hit all-time highs.
This underperformance is related to factors like the Japanese Yen carry trade, and Bitcoin is currently behaving with an inverse correlation to gold.
Historically, this is just a temporary dislocation, and as the Bank of Japan stabilizes, Bitcoin may reclaim its spot as a high-beta liquidity sponge.
Stablecoins are the Undisputed Killer App
While people are searching for the next big trend, the revolution is already here.
Analysts agree that Stablecoins are the most successful product in the history of crypto news. Notably, the stablecoin monthly volumes now overshadow payment giants like PayPal and Visa.
The total supply has crossed $304 billion, and these are no longer just tools for traders to park cash.
Stablecoin reserves now hold roughly $133 billion in US Treasuries, which makes the sector the 19th largest holder of US debt globally.