CryptoQuant founder and CEO Ki Young Ju believes altcoins are far from dead, but he says the market has changed dramatically and investors can no longer rely on hype alone.
In a recent post, Ju argued that the era of projects succeeding purely because of a popular narrative is over. According to him, tokens that lack real business value, revenue, or active users now face a much tougher environment.
While narratives still play a role in attracting attention, Ju said they are no longer enough to sustain weak projects. Instead, he believes investors should focus on altcoins backed by real businesses, strong products, and long-term growth potential.
Ju identified three types of altcoins that he believes still have strong prospects. The first includes tokens connected to major internet businesses. He pointed to BNB, which is tied to Binance, and GRAM, previously known as TON and linked to Telegram, as examples of projects supported by large ecosystems, real revenue, and long-term development plans.
The second category includes decentralized finance (DeFi) projects that generate actual revenue. Ju highlighted platforms such as Hyperliquid, which has gained attention for its growing trading volume, fee generation, and strong business model.
The third category focuses on projects benefiting from larger financial trends. These include stablecoins, tokenized stocks, real-world assets (RWAs), and blockchain infrastructure that supports artificial intelligence applications.
According to Ju, the market now has a clearer understanding of where blockchain technology provides real value beyond speculation. As a result, projects connected to practical use cases are more likely to survive and grow.
He also noted that tokenized real-world assets have expanded rapidly, while major financial institutions continue investing in tokenization and blockchain infrastructure. Stablecoins, tokenization, AI-related services, and improving regulations remain some of the strongest themes shaping the industry.
Ju believes the altcoin market has become much more selective. While Bitcoin has attracted large amounts of institutional capital and reached new highs, many altcoins have struggled to regain the momentum seen during previous market cycles.
He argued that future growth is more likely to come from projects serving genuine business needs rather than those driven purely by speculation. Artificial intelligence could also become an important growth area as AI-powered agents increasingly use blockchain networks to conduct transactions and manage digital assets.
At the same time, Ju warned that investors should be extremely selective. He said that the vast majority of altcoins still lack long-term value and are unlikely to succeed.
According to Ju, “99.9% of altcoins should be rejected,” but that does not mean every altcoin is worthless. Instead, he believes investors should focus on the small number of projects that have strong fundamentals, real users, sustainable revenue, and clear business models.
Looking ahead, Ju expects the cryptocurrency industry to become more regulated as traditional financial institutions become more involved. While this could slow some aspects of the market, he believes it will also make the industry larger, safer, and more mature over time.
