More than 100 crypto projects announced shutdowns, bankruptcies or indefinite service suspensions during the first seven months of 2026, according to RootData statistics cited by Hong Kong Economic Journal and reported by ChainCatcher. The closures affected exchanges, wallets, DeFi, DAO tools, Layer 2 networks and infrastructure, with depleted funding, security vulnerabilities and inadequate utility, revenue or economic value among the reasons cited. CoinShares CEO Jean-Marie Mognetti separately warned in remarks reported by CoinPost that many digital assets were rising because risk appetite was returning, rather than because their fundamentals had improved. He said investor sentiment had been near one of its lowest points in recent years about a month earlier, and urged investors to assess which assets can retain value when liquidity, political conditions and sentiment weaken. Improving macroeconomic and policy conditions could support Bitcoin and other major assets, but a market rebound does not establish that every cryptocurrency has a viable use case or sustainable economic model.