FinTech Belgium Summit 2018 - Keyrock - Kevin de Patou

1. The Crypto Market:
Beyond The Hype

2. Agenda
1. A year in crypto land
2. The crypto market as a market
3. Let’s get the crystal ball

3. 1. A year in crypto land

4. We have heard a bit (a lot) of everything in the last
12 months
Nov. 2017 Oct. 2018

5. Catastrophe...
● USD 554 bn
drop
● 75% decline
since peak mid-
January 18
● -10.7% monthly
decline over the
10 months
period
Perspective...
● USD 193 bn
increase
● 1 135% growth
since start of
January 17
● +12.8% monthly
growth over the
22 months
period
Could the numbers be telling another story?
Total Cryptocurrency market capitalization
Source: Coinmarketcap.com

6. Are new crypto currencies still being created?
A market gaining in maturity
● Less projects, higher quality
● Investors are growing up
● Professional investors are the new targets
● ICOs done in private sales
Source: Bloomberg

7. What can this teach us?
“Blockchain technology is the first sector where money flooded the market
before any product was available. Nowadays, dreamers, engineers and
innovators are starting to catch up with investors !”

8. 2. The crypto market as a
market

9. How do you define a good market?
An efficient market provides all buyers
and sellers the ability to easily
transact when they wish to do so,
without impacting the price of the
asset for the market as a whole.
An efficient market is a liquid market.

10. Liquidity in cryptos is not what it seems at first

11. 3. Let’s get the crystal ball

12. Main trends on the crypto market (1/3)
Institutional players are showing a growing interest for the market

13. We see a growing link between crypto companies and traditional banking,
helped by the development of stable coins
Main trends on the crypto market (2/3)

14. Main trends on the crypto market (3/3)
We are slowly but surely gaining clarity on regulatory frameworks
USA
The US have been very vocal on ICOs, mainly
through the SEC and the CFTC. Its main
stance is to determine whether ICOs fit in
the securities’ law, through the Howey test
Canada
Canada has been very progressive on the
ICO topic, working hand in hand with
projects such as Impak Finance to develop
fully regulated coin offerings
Europe
France, Malta, Gibraltar and Switzerland and
quite clearly taking the lead in defining
frameworks to issue and trade with
cryptocurrencies - EU recommendations
issued
China
Once the biggest crypto market, China
took a big conservative turn, banning ICOs
all together – Market believe this is a
temporary move to regain control

15. Conclusions
The growth of the crypto market may frighten some
established players but even they accept the potential of
its technology
The market has ups and downs - and big ones - but this is
not a fad. This is a new asset class that will revolutionize
the way we transfer value. Not a single doubt about it.