Five Crypto Giants Collapse as Market Sentiment Turns Sour

The crypto market has seen its fair share of hype and disappointment over the years. Two full cycles have come and gone, leaving behind five altcoins that promised to revolutionize the industry but are now struggling to stay afloat.

One of these coins is Cosmos (ATOM), which was supposed to be the connective tissue of crypto. Its SDK powered several successful chains, including Celestia, Injective, dYdX, Sei, and Terra, while its IBC protocol facilitated communication between them. However, the ATOM token failed to capture value, with every chain launching with its own token, validators, and fee revenue.

Another example is Algorand (ALGO), which boasted an impressive résumé, including a FIFA World Cup sponsorship and central bank pilots. While its chain still operates smoothly, developers have opted for Ethereum L2s and Solana, leaving ALGO struggling to find its place in the market.

IOTA, once touted as the machine economy, failed to deliver on its promise of fee-free transactions and a decentralized network. Its 2017 partnership with Microsoft was marred by controversy, and the Trinity wallet compromise in 2020 further damaged credibility.

EOS / Vaulta (A) raised $4.1 billion in its ICO, but the promised throughput never materialized, and the community fought over unspent funds and unfulfilled commitments. The rebrand to Vaulta and a Web3 banking pitch failed to revive the token's fortunes.

Finally, Internet Computer (ICP) attempted to build a blockchain that could host entire applications end-to-end, replacing traditional web stacks. Its peak market cap of $400 billion was one of the largest technology assets on earth, but usage issues and a lack of apps have led to its downfall.