The recent fall in cryptocurrencies prices has had an impact on the market assessment of the 50 largest blockchain companies in the so-called Crypto Valley in Switzerland and Liechtenstein. The valuation dropped from 44 to 20 billion dollars in the fourth quarter of 2018.
However, the number of companies increased by 20% during the same period, from 629 to 750. Among these companies there are four so-called “unicorns,” that is, start-ups that are already worth billions of dollars.
These indications come from the investment company CV VC, in collaboration with PwC Strategy and the inacta IT partner.
CV VC has published its last quarterly list of the major companies in Crypto Valley. The area, so well known, which records a high concentration of blockchain activities and companies in Liechtenstein and Switzerland.
fertile land for blockchain
The survey, explains CV VC, notes that at the end of December 2018, this group included 750 companies using distributed ledger technology that defines the blockchain. This corresponds to an increase of 121 companies, almost 20% compared to the last one, at the end of September 2018.
The data comes from CV Maps, an online directory of blockchain companies in Switzerland and Liechtenstein managed by CV VC.
The severe decline in the cryptocurrencies market in 2018 was nicknamed However, the new study highlights the impact of the evaluation of companies in the sector, but not on their number. The market capitalisation of the first 50 of the Crypto Valley fell from 44 to 20 billion dollars in the fourth quarter of 2018. With a 55% decrease.
Most cryptocurrencies around the world have lost value during this period. This global market, according to Coinmarketcap, had an estimated $130 billion at the end of 2018. And the top 50 in the Crypto Valley account for almost 20% of this market.
On average, these top 50 companies are worth $400 million each. Excluding the five largest, the average figure is still 365 million dollars, indicating that the concentration is relatively low. The average valuation of all 750 companies is estimated at $27 million. Four unicorns, valued at over $1 billion, are present in the Crypto Valley: Ethereum, Bitmain, Dfinity and Cardano.
Radiography of the Crypto Valley
Around 420 people work between Switzerland and Liechtenstein in the 50 largest blockchain companies. Overall, the industry employs more than 3,300 people, most of them in the Zug-Zürich area. The survey notes that for many companies it is \’business as usual, despite the collapse of the value of cryptocurrencies.
More than half of blockchain companies are located in the canton of Zug. But the Crypto Valley extends to other Swiss cantons: 42 are now in Geneva and 39 in the Canton of Ticino. Liechtenstein has 38 companies registered in the sector, according to CV Maps.
Compared to the previous quarter, continues CV VC, 15 companies entered the top 50 in the fourth quarter. They are: Sygnum, HDAC, ICON, 4ARTechnologies, WPP Energy, Nexo, ODEM, Mt. Pelerin, Saga, Boscoin, Utopiamusic, Santiment, Quant Network, TokenPay Swiss and Zulu Republic.
PwC stresses how positive this dynamism is despite being in the middle of the crypto winter.
More information and the possibility to download the report are available on the CV VC website, at this link.