Analysis: The "easy money era" for the crypto industry is coming to an end, with over 100 projects having collapsed in 2026.

Global Settlement Network (GSN) CEO Ryan Kirkley said the crypto industry is undergoing a large-scale purge, with projects that are overvalued, have weak business models, and lack sustainable revenue exiting the market one after another. Since 2026, over 100 crypto projects have shut down, filed for bankruptcy, or effectively vanished. Kirkley attributes this wave of failures largely to the aftermath of the 2020-2021 funding boom, when many projects secured huge funding rounds at inflated valuations but lacked real revenue and profitable paths, eventually being forced to rely on continuous financing to stay operational. Galaxy Research data shows that in the first quarter of 2026, venture capital investment in crypto and blockchain totaled approximately $4 billion across 355 deals. Funding volume fell by roughly half compared to the fourth quarter of 2025, while the number of deals dropped by only 16%, indicating the capital contraction is driven primarily by a decline in very large financing rounds. Kirkley believes stablecoins, digital banks, and institutional-focused wallets and settlement infrastructure could emerge as the winners following the industry purge, while social tokens, meme coins, and some Web3 gaming projects will face tougher tests. For Bitcoin, Kirkley noted the current market is in a "mild bear market," with $61,000 as a key support level. A break below this level could trigger forced selling by leveraged funds, further paving the way for a drop to $41,000. Meanwhile, Kirkley added that he has met with government representatives from seven countries over the past month. Institutions and governments are growing more interested in blockchain technology, but their focus is centered on applications such as reducing financial costs, tokenized assets, and cross-border settlements, rather than the decentralized financial systems emphasized by the traditional crypto industry.