A Structural Industry Shift
During a recent digital finance forum, Galaxy Digital CEO Mike Novogratz suggested the crypto market is undergoing a deep structural transformation. He believes the era of speculation driven by sky-high returns is gradually coming to an end.
Novogratz emphasized that the current market correction isn't a temporary fluctuation but a sign of broader industry evolution. He pointed to the massive liquidation event in October 2025, which removed many retail traders and market makers, creating lasting downward pressure on prices.
Moving Toward Real-World Assets
As the ecosystem matures, Novogratz anticipates a shift toward integrating real-world assets (RWA) on blockchain platforms. Future development will focus on how blockchain can enhance financial services, rather than chasing short-term gains.
He noted that more institutional players are entering the space, bringing with them a lower risk appetite and a longer-term investment perspective that could stabilize the market.
Regulatory Progress and Outlook
On the regulatory front, Novogratz shared insights from his recent discussions with Senate leaders. He revealed growing bipartisan support for the CLARITY Act, which aims to establish a clear legal framework for digital assets.
According to him, this legislation is not only necessary but could also restore market confidence. He expressed optimism that the crypto market structure bill would eventually become law, paving the way for further institutional adoption and innovation.