Chainalysis: Crypto Investors' Profits Soar 400% in 2021, Ethereum Outperforms Bitcoin

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Chainalysis: Crypto Investors

According to a new report from blockchain analysis firm Chainalysis, 2021 has been a fruitful year for cryptocurrency investors.

Ethereum Just Surpassed Bitcoin

One notable trend observed this year by Chainalysis is that Ethereum, the second-largest cryptocurrency by market capitalization, has generated more realized gains than the cryptocurrency king, Bitcoin.

Ethereum has generated a total of $76.3 billion in realized gains globally, compared to Bitcoin's $74.7 billion by the same metric.

Chainalysis attributes Ethereum's slight edge over Bitcoin largely to the explosive growth of decentralized finance (DeFi), with most DeFi protocols built on the Ethereum blockchain and using Ethereum as their primary currency.

Therefore, Chainalysis points out that despite the need for DeFi to continue to mitigate risks, the overall ecosystem is growing in 2021, indicating that crypto assets remain a source of economic opportunity for emerging market users.

This article is authorized for reprint from Horizon News Network