Crypto Market Sees Mixed Q3 Performance, Strong Institutional Backing, and Expanding L2 Support for Major Assets
Crypto Market Sees Mixed Q3 Performance, Strong Institutional Backing, and Expanding L2 Support for Major Assets
Q3 reports reveal a complex but evolving landscape for the crypto market. While some funds noted a slowdown in Bitcoin's rally, major players like Riot Platforms and Coinbase demonstrated resilience and growth. Riot reversed previous losses, partly due to gains on its Bitcoin holdings. Coinbase's revenue surged, boosted by climbing Ethereum trading share and a significant accumulation of Bitcoin. Ethereum itself continues to solidify its position, with Standard Chartered projecting it will host the vast majority of a $2 trillion tokenized real-world asset market by 2028. Furthermore, key non-EVM assets such as DOGE, XRP, and ZEC are gaining increased utility through new Layer 2 support, enhancing interoperability across the ecosystem.
Market Highlights & Institutional Moves
Standard Chartered has issued a bullish forecast for tokenized real-world assets (RWA), estimating the market could reach $2 trillion by 2028, with the “vast majority” expected to be hosted on the Ethereum blockchain. This perspective emphasizes Ethereum's growing prominence for institutional-grade applications, suggesting its foundational strength outweighs concerns about transaction speed or cost compared to other chains.
Bitcoin's third-quarter performance presented a mixed picture. While a notable strategy fund reported a drop in Q3 profit due to a fading Bitcoin rally and slowing accumulation, the Bitcoin mining sector showed signs of recovery. Riot Platforms, a significant miner, posted a net income of $104.5 million, successfully reversing previous quarter’s losses, buoyed by a substantial $133.1 million gain on its Bitcoin holdings.
Leading cryptocurrency exchange Coinbase also reported robust Q3 results, with revenue surging by 37%. This growth was significantly attributed to a climbing Ethereum trading share. CEO Brian Armstrong reinforced Coinbase’s long-term conviction in Bitcoin, announcing the company added an additional $299 million worth of the cryptocurrency to its balance sheet during the quarter, signaling strong institutional confidence.
Beyond the top assets, the broader crypto ecosystem is expanding its reach and utility. Unichain L2 announced crucial support for several non-EVM assets, including Dogecoin (DOGE), XRP, and Zcash (ZEC). This integration, powered by the Universal protocol, facilitates the creation of bridgeable “uAssets,” enhancing the interoperability and functional scope of these cryptocurrencies within the evolving Layer 2 landscape and DeFi applications.