The Crypto Valley’s Top 50 - Q1 2019

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New Crypto Valley Top 50 shows Swiss Blockchain industry defying ‘crypto winter’

The recent fall in cryptocurrency prices saw the market valuation of the 50 largest Blockchain companies in Switzerland and Liechtenstein’s Crypto Valley plunge from US$44 billion to $20 billion in the fourth quarter of 2018. Over the same period, however, the number of participating companies soared by 20% from 629 to 750. Among them are four so-called ‘unicorns’ - start-ups already worth billions of dollars.

Davos, January 24, 2018 – Investment company CV VC, in collaboration with PwC Strategy & and IT partner inacta, has published its new quarterly list of the largest and most important companies in Switzerland and Liechtenstein’s Crypto Valley Blockchain cluster.

The survey finds that, at the end of December 2018, the cluster contained 750 companies using the distributed ledger technology that defines Blockchain. This corresponds to a growth of 121 companies, or almost 20% compared to the last count at the end of September 2018.

US$ 20 billion market capitalization and 4 unicorns

The data comes from CV Maps, an online directory of blockchain companies in Switzerland and Liechtenstein, which is maintained by CV VC.

Mathias Ruch, Founder and CEO of CV VC said: "This new report clearly reflects the market correction that started in early 2018, which is significantly based on cryptocurrencies. However, it also shows that companies developing blockchain-based applications and infrastructure solutions have been able to keep up, while an impressive number of new startups with innovative use-cases have risen to the top."

‘Crypto winter’, as 2018’s severe market reversal has been nicknamed, has affected the valuation of participating companies but not their number. The market capitalization of the top 50 dropped from $44 billion to $20 billion in Q4 2018, a decrease of 55%. Most cryptocurrencies worldwide lost value during this period. The global crypto market according to Coinmaketcap was valued at the end of 2018 at $130 billion. The Crypto Valley Top 50 accounts for nearly 20% of this market.

Ralf Glabischnig, Managing Partner at inacta and Founder of CV VC: “In addition to the growing number of startups we observe increased activities of corporates entering the blockchain space with their own projects or startup investments”.

Download report

"Top 50 Blockchain Companies"

Download the second issue of CV VC Insights with the complete report on the Crypto Valley's Top 50 - Q1 2019:

Report PDF (ENG, 7.5 MB)

One pager incl. chart (0.8 MB)

Graphic 1: Companies per canton

Graphic 2: Valuations visualized

Highlights

On average, the top 50 companies are valued at $400 million each. Excluding the five largest, the average figure is still $365million; a sign that concentration is relatively low. The average valuation of all 750 companies was estimated at $27 million. Four unicorns – startups valued at over $1billion – are present in Crypto Valley: Ethereum, Bitmain, Dfinity and Cardano. Around 480 people work in Switzerland and Liechtenstein in the 50 largest blockchain companies. Overall, the industry employs more than 3,300 people. The survey finds that it is business as usual for many companies despite the collapse in value on the crypto exchanges.

While over half of Blockchain companies are based in the canton of Zug, Crypto Valley extends to many other Swiss cantons: 42 are now in Geneva and 39 in Ticino. Switzerland’s neighbouring microstate of Liechtenstein registers 38 crypto companies according to CV Maps. There are no entries in the blockchain register yet from Appenzell, Innerrhoden, Glarus, Jura and Obwalden.

Compared to the previous quarter, 15 companies entered the top 50 in the fourth quarter: 4ARTechnologies, Boscoin, HDAC, ICON, Mt Pelerin, Nexo, ODEM, Quant Network, Saga, Santiment, Sygnum, TokenPay Swiss, Utopiamusic, WPP Energy und Zulu Republic. Dr. Daniel Diemers, Blockchain Leader EMEA bei PwC Strategy: “This high dynamic in the middle of the crypto winter is very positive. It shows that the appeal of Switzerland as one of the world's most attractive locations for blockchain startups remains unbroken”.

The TOP 50 Challenger List

The second report on the Crypto Valley’s Top 50 contains a challenger list. According to CV VC, inacta and PwC Strategy&, the 15 startups have a good chance of making it into the top 50: ambrpay, Arca Trust, Blockimmo, Cosmos Network, Datum, Friendz, Grain, Metaco, Orion Vault, Pigzbe, PikcioChain, Qiibee, Request Network, Taurus Group, UTRUST.

As well as CV’s updated CV Maps database, sources for the quarterly Top 50 survey include company registers, crypto exchanges, media reports and LinkedIn. In cooperation with PwC Strategy & Switzerland, various valuation criteria and data were established as the basis of the survey: funding, market capitalization, number of employees, and age of company, all weighted on a scale of 1 to 10. Where no data was available, estimates were made and declared as such.

 

Partnership with PwC

CV VC’s collaboration with PwC in developing the Top 50 report is part of a long-standing strategic partnership between the consulting firm and CV Labs, the CV VC’s co-working space in the center of Zug.

Daniel Diemers, Blockchain Leader EMEA at PwC Strategy& said: "Crypto Valley has grown enormously in just three short years. Even two or three years ago, there were just 10 to 15 companies in the blockchain industry. PwC was quick to realize the potential of Blockchain and how it is important for companies to understand the technology and to get close to innovative startups in the field“.

“Partnering with CV Labs and CV VC gives our clients this access. From the other direction, we also want to bring startups closer to potential investors and partners“, said Daniel Diemers. PwC has a global team of 2,000 blockchain specialists.

CV Labs, CV VC’s coworking space in the heart of Zug, is home to a growing number of blockchain startups, crypto funds, academic institutions and industry group The Crypto Valley Association since the beginning of 2018. With more than 100 tenants, Crypto Valley Labs has grown fast, opening two new floors of office space in September. "The strategic partnership with PwC and Wenger & Vieli AG shows that established companies are now entering the blockchain industry," said Mathias Ruch, CEO of CV VC.


Media contact:
Narwal - Blockchain PR
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