CoinGecko has just published its end of year 2020 report on the cryptomunication industry.
CoinGecko has noted an increase in virtually all parameters related to the crypto space over the last 12 months.
The main highlights of 2020 concern the growth of Bitcoin, Ethereum, DeFi and stablecoins.
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CoinGecko, one of the largest online aggregators of crypto market capitalisation, has just published its 2020 year-end report. The summary focuses on the most important changes in the cryptocurrency ecosystem over the last 12 months.
CoinGecko’s report analyses the market landscape, as well as the growth of Bitcoin, DeFi, Fixed Interest Rate Protocols (FIRPs), stablecoins and encryption trading platforms.
In its introductory section entitled „Founders Notes“, the CoinGecko team began with a quote that it believes defines the last 12 months for the crypto ecosystem :
„Decades can go by without anything happening, and weeks during which the equivalent of decades can pass. The year 2020 has been charged with defining events that have changed the course of the world. With the Covid-19 pandemic having forced many people to adapt to the digital world, we believe it is only a matter of time before our vision of global tokenisation takes shape“.
Overview of the crypto market in 2020
The report begins strongly, highlighting the significant growth observed in the entire cryptomarket.
Mr. CoinGecko noted that the total market capitalisation of the cryptoney industry at the end of 2020 has reached the massive amount of $732 billion. This equates to a year-on-year growth rate of 308%. Shortly thereafter, this figure surpassed the trillion dollar mark.
By analysing the top 30 cryptomoney companies in terms of their market capitalisation growth, CoinGecko shows how important the year was for the ecosystem. The growth rate of market capitalisation rose from 62% in 2019 (an increase of $68 billion) to the current level of 308% in 2020 (an increase of $552 billion).
The top 5 cryptomoney companies by market capitalisation grew by an average of 242% over the year. Ethereum won the award for best performance in this category.
CoinGecko’s Market Report 2020
A monumental year for Bitcoin
Anyone who has followed the crypto asset class is probably aware of how Bitcoin has had a masterful 2020 year. This analysis provides a concise overview of Bitcoin’s price growth and usability over this period.
In 2020, after a growth of 303%, Bitcoin’s share price reached a new historical record. The BTC ended 2020 with a price 48% higher than its previous record of 2017.
CoinGecko points out that the global economic uncertainty linked to the Covid-19 pandemic and the increased adoption of BTC by institutions are two of the main factors behind this price increase.
CoinGecko’s 2020 Market Report
The boom in decentralised finance
DeFi applications, or dApps, were one of the most important players in the crypto space in 2020.
CoinGecko said: „the crypto space has witnessed the spectacular rise of DeFi, particularly during the summer of 2020, with its domination in the field rapidly increasing from 0.9% to 4.6%“.
DeFi ended the year with a record market capitalisation of $20.4 billion. This figure has since risen to more than 22 billion dollars.
CoinGecko’s Market Report 2020
CoinGecko ends on this subject with a major prediction: „If and when Bitcoin’s domination will diminish, a new craze for DeFi could be on the horizon“.
All in all, 2020 was a pivotal year for the cryptography space, propelling a good number of its use cases and capabilities within the general public.