02.03.2024

Top Crypto Valley Companies Grow Hundreds Of Percent Since Mid-2020

A Top 50 report by Swiss investment firm Crypto Valley Venture Capital (CV VC) showed that the value of the top 50 firms from the famed Crypto Valley domestically has increased by more than 680 percent on average since July 2020.

Thus, the value of the 50 largest companies in the valley has grown from $ 37.5 billion in July 2020 to $ 254.9 billion as of February 2021. The report examined firms operating in the Swiss canton of Zug. Since July, the number of crypto companies in the region has increased by 4.4 percent to 960 organizations, and the number of employees hired in the crypto sector in the region has grown by 8.5 percent to 5184 people.

Recall that the Cryptocurrency Valley in Switzerland has been known for a long time – and on the positive side. In particular, when Zimbabwe’s central bank banned local companies from using cryptocurrency in May 2018, blockchain analysts decided to find out which country is the best for new projects. The rating was published during the BlockShow Europe 2018 event, and it consisted of 48 countries.

To determine the leader, the experts assessed the political, legal and entrepreneurial components within each region. Also in the center of their attention was the taxation system, which affected citizens when working with digital assets. Despite the large number of evaluation points and a considerable number of applicants, it was Switzerland with its canton called Zug that became the winner in the ranking.

As a result, this area has become one of the main targets for many entrepreneurs from the world of cryptocurrencies. Business Insider journalists even went there and studied the local environment. This material will help you get to know the area better.

Where cryptocurrencies are developing most actively

There are eleven so-called unicorns in Crypto Valley Switzerland – that is, cryptocurrency companies whose capitalization exceeds the billion dollar mark. These are Ethereum, Cardano, Polkadot, Aave, Cosmos, Solana, Tezos, Dfinity, Near, Nexo, and Diem . Despite concerns that the sector will shrink amid the coronavirus pandemic, the study found that Crypto Valley weathered the crisis very well.

Here is a quote from CV VC CEO and founder Matthias Ruch on the matter, in which he shares the specifics of the situation. The replica is provided by Cointelegraph.

After we faced the COVID-19 crisis in March 2020, we are now confident about the future. The positive development of events was already noticeable in September. New startups are constantly being created that actively choose Crypto Valley as their home.

That is, the expert makes it clear that not only the region of Switzerland is popular, but also the cryptocurrency industry itself. This means that the developers are not afraid to get involved with it, since they consider the future of the blockchain asset niche bright.

Indeed, in the second half of 2020, the effects of the coronavirus pandemic were not so noticeable. And although the coin market crashed in March, by the end of the year, Bitcoin surged up and pulled the entire industry with it. As a result, in December, he set a new record and drove on – towards the current maximum of 58 thousand dollars per BTC.

CV VC Matthias Movement

Founder of CV VC Mathias Ruch

Recall that Switzerland has long been a center of activity for crypto startups due to the favorable regulation of their activities within the country. The author of the report, Ralph Kubli, also made a statement on this matter.

Switzerland boasts one of the most advanced blockchain laws in the world. In this way, she created a solid foundation for the future prosperity of Crypto Valley.

We have checked the current data, and the mentioned projects really delight investors. For example, over the year, the cost of Ethereum has grown by 562 percent. This figure was even higher when ETH was above the $ 2K level. Today the cryptocurrency is valued at $ 1,484.

Ethereum rate

The results of changes in the Ethereum exchange rate for the year

Cardano ADA, which recently ranked third in the overall cryptocurrency rankings, jumped 2,215 percent in a year.

Polkadot DOT has been around for less than a year since it started trading last summer. Accordingly, no data are available for this period. However, taking into account the minimum exchange rate of $ 2.7 on August 20, 2020, we can talk about an increase of 1142 percent.

polkadot chart rate

Results of Polkadot course changes for the year

A similar situation is observed with AAVE, which was launched last fall. Since then, the rate has risen by 1257 percent.

aave chart rate

Results of AAVE rate changes for the year

Finally, the Solana project from FTX founder Sam Bankman-Fried is up 2,398 percent from its low. This cryptocurrency took a little less than a year.

solana chart rate

Results of Solana Course Changes for the Year

We believe these numbers indicate the willingness of the cryptocurrency industry to move on. And although the coins are not performing well after the Bitcoin crash in the second half of February, they have already shown incredible results in the long term. In addition, the blockchain industry continues to evolve: next we will see the era of new decentralized exchanges that will allow exchanging tokens on different blockchains. That is, users will conditionally be able to exchange their ETH for BNB – and all this on a decentralized basis.

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