Eighty-two digital asset projects and protocols shut down in 2026, according to crypto researcher Stacy Muur. DeFiLlama's August research identified an even larger figure—100 crypto project shutdowns in 2026, with 40 occurring within the preceding 90 days.
The primary reason cited for closures was lack of product-market fit. Other factors included depleted funding, insufficient revenue streams and strategic pivots.
Blast, the Ethereum layer-2 network, announced its closure earlier this month, stating it had no "credible path" to economic viability. The network once held over $2 billion in total value locked.
Step Finance shut down in February following a major treasury breach. Radiant Capital announced in June it would wind down operations after failing to recover from a 2024 exploit. Coinbase-backed Satori Finance ceased operations when revenue could no longer support its business model.
The shutdowns collectively involved projects that raised approximately $1 billion in funding but generated only $250 million in cumulative fees. Nine projects had each secured more than $50 million in capital.
The closures followed a prolonged bear market. Bitcoin fell from its October 2025 record above $126,000 to below $60,000 earlier this year, straining projects already struggling to attract users.
DeFiLlama reported that venture funding increased in the first half of 2026 compared to the prior year, even as the total number of deals fell 80 percent. Mergers and acquisitions activity totaled 87 transactions, marking a 65 percent increase over the prior year.
