April 23, 2025
Blockchain

JPMorgan: Venture investment flow will mitigate consequences of Terra’s collapse

  • May 26, 2022
  • 0

Terra’s collapse will have a limited impact on the state of the digital asset market, and the crypto winter will be short-lived due to the influx of venture

JPMorgan: Venture investment flow will mitigate consequences of Terra’s collapse

JPMorgan: Venture investment flow will mitigate consequences of Terra’s collapse
JPMorgan: Venture investment flow will mitigate consequences of Terra’s collapse

Terra’s collapse will have a limited impact on the state of the digital asset market, and the crypto winter will be short-lived due to the influx of venture capital into the industry. The Block writes that JPMorgan analysts came to this conclusion.

Experts stated that if this trend continues, the outlook of the sector will remain “pink”.

“After that Terra’s downfall There are no signs that venture capital financing is on hold. Of the $25 billion accumulated since the beginning of the year, $4 billion came from this event. We believe a repeat of the 2018-2019 crypto winter is possible only if the flow of funds dries up.” Written by analysts.

The report states that events around Terra are a “significant blow to the crypto world,” but have had a limited impact on the DeFi ecosystem. TVL experts said it was “relatively stable” in other projects.

Recall that Goldman Sachs said that the collapse of TerraUSD caused a “contagion” of the stETH token issued by the Lido Finance service, increasing systemic risks.

Previously, Forbes described the collapse of LUNA and UST as the “fifth reboot” of the crypto market.

Source: Fork Log

Leave a Reply

Your email address will not be published. Required fields are marked *