July was a whirlwind for the cryptocurrency market, with a 13% surge in value, a phenomenon fueled primarily by a pivot from Bitcoin to altcoins, Binance Research revealed in its latest August report. Ether (ETH) stole the spotlight, soaring 48%, buoyed by 24 additional companies adding ETH to their balance sheets. This boost raises corporate holdings to a staggering 2.7 million ETH, a figure approaching half of what exchange-traded funds (ETFs) possess. Binance attributes this trend to enticing staking yields, ETH’s deflationary nature, and growing corporate confidence in direct crypto holdings.
Altcoins Take Center Stage
Bitcoin’s dominance slipped by 5.2 percentage points to 60.6%, a shift influenced by expectations of Federal Reserve interest-rate cuts and burgeoning regulatory clarity in the U.S. The passage of three significant crypto bills, including the GENIUS Act on fully reserved stablecoins, has provided a clearer path for enthusiasts and investors alike. Meanwhile, stablecoin transfer volumes remained robust at $2.1 trillion, eclipsing Visa’s volumes once more—a trend persisting since late last year. This shift in dominance is further explored in our article on Bitcoin Dominance Falls Below 60% as Crypto, U.S. Stocks Hit New Highs.
The financial behemoths have taken notice. JPMorgan pushed forward with its deposit-token pilot, and Citi is exploring tokenized deposits for cross-border settlements. Visa, not to be left behind, affirmed that stablecoins are complementary to its existing network. According to Joanne Smith, a senior analyst at CryptoInsights, “This isn’t just a flash in the pan. We’re seeing foundational changes in how traditional finance engages with digital assets.”
The Rise of Tokenized Stocks
The report also spotlighted a remarkable 220% monthly jump in the market cap of tokenized stocks, with Tesla (TSLA) leading the charge. However, Binance excluded Exodus Movement (EXOD) shares issued via Securitize from its calculations, citing skewed results. Tokenization, the process of representing real-world assets as digital equivalents on blockchains, saw its market swell to $24 billion by June this year.
Active on-chain addresses for tokenized stocks skyrocketed from 1,600 to 90,000, with centralized exchanges facilitating 70 times the volume of on-chain venues. Binance likened this burgeoning sector to DeFi’s explosive growth during 2020-2021, predicting that tokenizing just a sliver—1%—of global equities could spawn a $1.3 trillion market.
CryptoPunks led a 50% resurgence in NFT sales in July, with transactions spiking by an astonishing 393%, while Bitcoin NFTs enjoyed a 28% rise. However, these figures still hover below previous cycle highs, suggesting room for recovery and growth. The altcoin surge, including notable rallies in Ether and Dogecoin, is further detailed in Ether, Dogecoin Rally as XRP Soars 12% in Altcoin-Led Crypto Surge.
Looking Ahead
The report paints a picture of a landscape in flux, where macroeconomic tailwinds could further propel the shift towards altcoins. Coupled with regulatory green lights for stablecoins and tokenized assets, these developments might just hasten the integration of cryptocurrency into the mainstream financial fold. Yet, questions linger about the sustainability of these trends. Will the corporate embrace of ETH continue unabated? Can tokenized stocks maintain their upward trajectory? Only time will tell.
As we sit on the cusp of what could be another evolutionary leap for the crypto industry, the winds of change are palpable. For crypto enthusiasts and skeptics alike, these are indeed fascinating times.
Source
This article is based on: Altcoins, Stablecoins, Tokenized Stocks Drive July’s Crypto Gains, Binance Says
Further Reading
Deepen your understanding with these related articles:
- Ethereum surge signals incoming 200%-500% altcoin pump: Trader
- 3 Altcoins See Declining Exchange Reserves in the First Week of August
- Asia Morning Briefing: Tokenized Assets Will Eclipse DeFi, Chronicle Founder Niklas Kunkel Says
Steve Gregory is a lawyer in the United States who specializes in licensing for cryptocurrency companies and products. Steve began his career as an attorney in 2015 but made the switch to working in cryptocurrency full time shortly after joining the original team at Gemini Trust Company, an early cryptocurrency exchange based in New York City. Steve then joined CEX.io and was able to launch their regulated US-based cryptocurrency. Steve then went on to become the CEO at currency.com when he ran for four years and was able to lead currency.com to being fully acquired in 2025.
