The CEO of crypto asset manager Bitwise has declared that the traditional four-year crypto market cycle is dead, as institutional participation reshapes market dynamics.

He noted that with the proliferation of Bitcoin ETFs and deep engagement from traditional financial institutions, the crypto market is transitioning from retail-driven to institution-driven. This shift implies lower volatility but more sustainable long-term growth.

Bitwise specifically highlighted Strategy’s STRC product as a key catalyst for bringing Bitcoin into fixed-income markets, reflecting the broader trend of crypto assets entering mainstream finance.

At Consensus 2026 in Miami, executives from Two Prime, Ledn, and Lygos Finance said institutional borrowers increasingly prioritize custody, transparency, and standardized lending structures over complex DeFi products, following the crypto credit collapses of 2022.

The trend suggests the crypto lending industry is gradually aligning with traditional finance, with institutional clients favoring compliance and risk management over decentralized innovation.

Source: CoinDesk