On-chain analytics agency Parsec is asking it quits after 5 years within the enterprise — an indication that one slice of the crypto device market not matched dealer wants.
Its CEO, Will Sheehan, summed it up plainly: the agency had been constructing for a model of crypto that stopped exhibiting up in the identical method.
“Parsec is shutting down,” the corporate disclosed Thursday. “The market zigged whereas we zagged just a few too many occasions,” Sheehan mentioned.
Shift In On-Chain Demand
Parsec’s concentrate on decentralized finance and collectibles left it uncovered when person habits shifted. NFT volumes dropped.
Experiences say gross sales fell to about $5.63 billion in 2025, a 37% decline from near $9 billion the 12 months earlier than, and common costs slid from $124 to $96, in accordance with CryptoSlam.
That type of pullback makes working a distinct segment analytics product more durable, particularly when fewer folks chase fast positive aspects.
Finish of the highway for parsec I’m afraid. The market zigged whereas we zagged just a few too many occasions
Somewhat parsec lore for posterity, In early 2020 I began charting uniswap *v1* charts as a facet mission, this spiraled right into a full blown DeFi terminal throughout DeFi summer season and into the… https://t.co/5gmHng5BIU
— Will Sheehan (@wilburforce_) February 19, 2026
Some Help, Not A Lifeline
The startup had critical backers at launch in early 2021. Traders included Uniswap, Polychain Capital, and Galaxy Digital. That credibility mattered, however it didn’t assure a gradual market.
After the collapse of FTX, sure forms of high-risk borrowing and margin exercise by no means got here again in the identical method, and buying and selling patterns modified.
Funding And Timing Didn’t Assure Survival
The house is crowded now. Massive platforms provide analytics at scale whereas a handful of targeted instruments attempt to hold specialist customers. Nansen’s chief, Alex Svanevik, mentioned Parsec “had an important run,” which felt like greater than a well mannered line; it was a recognition that constructing for growth occasions can depart you uncovered when flows cool.
Across the identical time, different startups have pulled again. Experiences say Entropy can be winding down, and Tom Farley predicted a wave of consolidation as cash and customers focus in fewer locations.
Crypto Value Motion
Halfway by way of this market pause, Bitcoin has been working a cautious sample. It has slid beneath key ranges after which discovered pockets of assist.
Geopolitical headlines have nudged merchants towards security at occasions, leaving skinny buying and selling home windows the place costs can swing greater than traditional. The result’s a quieter buying and selling image for speculative niches, which rely on daring bets and deep liquidity.
What Comes Subsequent For The Sector
What occurs now shall be sensible. Some area of interest instruments shall be purchased, others will shut, and some shall be retooled to serve giant shoppers or totally different knowledge wants.
The transfer will not be an finish for DeFi or collectibles; they’re nonetheless energetic, however they’re smaller and extra specific in who makes use of them.
Capital is choosier. Merchandise constructed across the loudest moments of the previous cycle are being examined in a calmer market.
Briefly, it is a reset. A handful of corporations shall be absorbed, some concepts shall be reworked, and plenty of groups should show their match with the present set of customers. Those that can match the place the flows truly are may have the perfect likelihood to maintain working.
Featured picture from Unsplash, chart from TradingView
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