Traditional value metrics don't apply to crypto. However, an "intangible value" factor can be constructed by analyzing fundamental on-chain data—such as developer commits on GitHub, daily active wallets, and transaction volume—to identify undervalued projects.

The proliferation of local crypto exchanges in emerging markets has created robust, stablecoin-dominated trading environments. These function as highly efficient, alternative foreign exchange markets, enabling faster and cheaper cross-border value transfer than traditional rails.

Crypto ETFs serve as an off-chain layer for investment transactions, separating speculative trading from on-chain utility. This reduces network congestion and allows the base layer protocol to focus on real-world applications, which is a net positive for its long-term health.

Unlike assets like commodities or private markets where institutions pioneer adoption, cryptocurrencies saw retail investors lead the charge. Institutions are only now slowly beginning to explore allocations, reversing the historical trend of top-down financial innovation.

Unlike past crypto cycles characterized by widespread retail hype, the current market's energy comes from institutional adoption. Traditional financial firms are moving beyond pilots and using crypto rails in production. This shift signifies a more mature, robust, and potentially more sustainable phase for the industry.

Western teams often focus on technology, but the highest-volume users of real-world crypto applications like stablecoins and perpetuals are in Asia and Latin America. Their adoption patterns—not theories from New York or Silicon Valley—dictate which solutions ultimately succeed.

After years of exploring various use cases, crypto's clearest product-market fit is as a new version of the financial system. The success of stablecoins, prediction markets, and decentralized trading platforms demonstrates that financial applications are where crypto currently has the strongest, most undeniable traction.

Data showing average stablecoin transaction sizes of only $11,000 to $14,000 indicates that current usage in emerging markets is not dominated by large-scale corporate payments. This points to a user base more focused on retail, smaller B2B, or crypto trading activities, rather than wholesale cross-border finance.

Stablecoins will likely enter the US market not through domestic retail payments, but via international network effects, similar to WhatsApp. Initial US users will be those interacting with the global economy, and adoption will spread inward as these cross-border connections become more common.