Alts Shine in Fundamentals Composition

Bitcoin and Ethereum are dominant digital assets– they prevail in mindshare, in market cap, and in investors' portfolios. It is easy for crypto investors to disregard the remaining universe of "altcoins", which seem minute in comparison. However, Outerlands Capital believes investors would be remiss to not consider fundamentals before making such a hasty write off, as actual onchain usage tells a very different story.

Non-BTC and ETH blockchains and Web3 applications contribute an outsized share of digital asset fundamentals, representing 98% of monthly transactions, 93% of daily active users, and 77% of monthly fees. In spite of this however, altcoins represent only a small fraction of the total crypto market cap, and an even smaller share of most market cap-weighted products and benchmarks.

While Bitcoin and Ethereum are fantastic, world-changing assets that deserve a place in any investors portfolio, altcoins are a sleeping giant that Outerlands believes should also command meaningful share of a digital asset allocation.