Galaxy Digital CEO Mike Novogratz has cautioned that XRP and Cardano (ADA) could lose their competitive edge in future market cycles if they fail to demonstrate real-world utility. Novogratz emphasized a shift in the crypto market from "narrative-driven tokens" to "business-driven tokens," where only projects generating profits and measurable value will thrive long-term. He highlighted Hyperliquid as an example, noting its model of using profits to buy back and burn tokens, akin to equity investments, as a future direction for tokens.
Novogratz also predicted a structural transformation in the crypto industry over the next 1-3 years, with wallets and exchanges evolving into "neobank-like" entities. These platforms are expected to offer more mature financial services, including stablecoins, tokenized stocks, and money market products.
Galaxy Digital CEO Warns XRP and Cardano May Lose Market Edge
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