Mr. Sergey Nazarov, co-founder of Chainlink, stated that the recent decline in the crypto market is unlike previous cycles. Although values continue to plummet, there has not been a mass bankruptcy of companies in the industry, and the real-world asset (RWA) sector continues to maintain strong growth amidst the negative backdrop.
Data shows that the total market capitalization of crypto has decreased by about 44% from the all-time high of $4.4 trillion in October 2025, meaning nearly $2 trillion has vanished in just four months. Nevertheless, Mr. Nazarov pointed out two important differences compared to previous corrections.
The first factor: Unlike previous downturns, where price volatility often triggered the collapse of FTX and the crypto lending crisis of 2022, this time it has not led to the bankruptcy of major institutions. He argues that this demonstrates the industry has significantly improved its risk management capabilities and resilience, avoiding widespread systemic issues.
The second factor: The tokenization of real assets and the development of decentralized perpetual contracts (perps) continue to progress robustly, despite price volatility. Mr. Nazarov believes this affirms that innovations on the blockchain are creating real value, not just relying on speculation. According to data from RWA.xyz, the total value of tokenized real assets has increased by about 300% over the past year.
He assesses that this trend indicates RWA can develop independently of the ups and downs of crypto prices, thanks to advantages such as transparency, traceability of origin, and continuous trading.
He predicts that if this trend continues, the scale of tokenized real assets may surpass traditional cryptocurrencies, leading to a fundamental shift for the entire sector.
This opinion is also mentioned by analyst Gautam Chhugani from Bernstein in a report released on Monday, when he called this the "least severe Bitcoin bear market in history." The analysis team believes that the volatility is mainly due to a loss of confidence, rather than the collapse of foundational structures.
Additionally, Mr. Jeff Mei, CEO of BTSE, believes that this sell-off is primarily driven by external factors affecting crypto. These include concerns about the cooling of the AI wave, which may lead to a correction in technology stocks, along with the appointment of Mr. Kevin Warsh as Fed Chairman, causing investors to worry about reduced liquidity in the financial system.
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