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Air projects continue to proliferate, with as many as 640 projects not updating any code this year.

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Air projects continue to proliferate, with as many as 640 projects not updating any code this year.

Development activity on the open-source platform GitHub has long been a key indicator for assessing cryptocurrency projects. However, a recent study has found that as many as 640 projects have not updated any code this year and still hold a certain market value.

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The development activities on the open-source platform GitHub have always been an indicator for evaluating cryptocurrency projects. However, a recent study pointed out that as many as 640 projects did not update any code this year and still hold a certain market value.

Most projects stagnate after initial code submission

Research by Coincodecap on 2000 cryptocurrency startups revealed that this year, as many as 32% of cryptocurrency projects failed to release any code, with 640 companies completely inactive.

In fact, only a few projects excel in GitHub code submissions. Coincodecap commented:

The cryptocurrency space is filled with lies and hollow promises. To improve the ecosystem, we need to eliminate projects that cannot fulfill promises to investors.

Coincodecap's analysis shows that the total market value of inactive projects still amounts to $415 million. The most extreme case is Proton Token, which has not released any new code since 2018, yet still holds a market value of $4.98 million.

One of the reasons for the stagnation in updates is that creating new blockchain projects may be relatively straightforward, especially when built on the Ethereum network.

Many projects in the past have promised to develop their mainnets. However, the cryptocurrency market is currently in a bear market cycle for altcoins, making developing mainnets perhaps not a wise choice.

Furthermore, active projects have also slowed down their development activities. Both Bitcoin Cash and Monero (XMR) have reduced the speed of code submissions. A report indicates that the most active projects in code submissions this year were.

Source: cryptomiso

YOBIT trades 62 inactive projects

Highly inactive projects are also prevalent on a few exchanges known for listing relatively obscure projects. YoBit is a leading exchange hosting 62 tokens or coins, none of which have had code written in 2019.

The slowdown in production coincides with runway losses for most cryptocurrency projects, especially those that raised funds during market peaks. With Ethereum (ETH) dropping to $200, several projects are unable to meet their development needs.

In the cryptocurrency space, projects disappearing is nothing new. However, for now, most inactive startups continue to at least see some trading activity.

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