Novogratz Doubts XRP and Cardano’s Future Relevance as Crypto Market Matures
Mike Novogratz just threw cold water on two crypto heavyweights. The Galaxy Digital CEO questioned whether XRP and Cardano can keep pace as the digital asset space grows up.
Where's the Utility?
His critique centers on real-world use. In a maturing market, speculation takes a backseat to tangible utility and developer traction. Novogratz suggests some legacy projects might get left behind if they can't demonstrate compelling, scalable applications beyond their initial hype cycles.
The Darwinian Shift
The industry's evolution is becoming brutally selective. It's no longer enough to have a loyal community or a complex whitepaper. Protocols now face a simple, stark test: are builders actually using this thing to create value, or is it just a digital asset waiting for its next pump from some self-proclaimed 'alpha' group on social media?
Survival of the Fittest Code
This isn't about past performance. It's about future-proofing. Networks must prove they can adapt, attract development talent, and solve problems more efficiently than a growing field of competitors. The coming years will separate the foundational technologies from the historical footnotes.
The message is clear: in crypto's next chapter, relevance isn't given—it's earned. And for some, the clock is ticking louder than a blockchain confirmation.
Doubts about staying power
In an interview with Galaxy’s chief of research, Alex Thorn, Novogratz stated unequivocally: “Can Ripple hold it together? Is cardano able to maintain composure?
He clarified that the problem is that cryptocurrency is evolving. What was once based on excitement and HYPE is moving toward something more tangible. Tokens must now demonstrate actual worth rather than merely being ardent advocates.
Both XRP and Cardano’s ADA have loyal followings. That’s never been in question. But when you look at what’s actually happening on their networks, the picture gets fuzzy.
Strong communities but weak usage
Take Cardano. Novogratz didn’t hold back: “Charles Hoskinson, bless his soul, he’s kept the Cardano community with a blockchain that people don’t really use a lot. He’s had a strong community just like XRP. Can you keep it together when there are more and more options?”
His point is that the market’s getting smarter. Tokens that aren’t meant to be money, like Bitcoin, will be judged like regular businesses, by their revenue, usage, and real-world impact.
Ripple built XRP to MOVE money across borders fast and cheap through RippleNet. Banks and fintech companies use it. Sounds good on paper. But critics keep saying the same thing: there’s not enough actual activity to justify what it’s worth.
The numbers tell the story
The story is told by the numbers. With a market value of almost $115 billion, XRP is ranked fifth among all cryptocurrencies by CoinMarketCap. Cardano is approximately $13–14 billion, in the vicinity of the 12th.
This is when things start to get interesting. At the time of publication, XRP has 16,703 active addresses, according to CryptoQuant data. Cardano tallied little more than 19,000. In contrast, solana consistently reaches millions of active users because of DeFi apps, meme coins, and other initiatives. With a $72 billion market capitalization, Solana ranks eighth in the world.
Hyperliquid and similar platforms are the way of the future, according to Novogratz. It is a trading exchange that makes real money and repurchases tokens from its gains. Traditional equity operates in this manner, and cryptocurrency may follow suit.
Get $50 free to trade crypto when you sign up to Bybit now
