Hyperliquid and Pump.fun Dominate 67% of All Crypto App Revenues

The crypto market is going through the biggest consolidation phase in its history, according to Lorenzo Valente of ARK Invest. Capital is being deployed more selectively, projects without genuine product-market fit are collapsing, and revenues are concentrating among a handful of major players. Hyperliquid and Pump.fun together account for 67% of all app revenues, and when Ethena is included, the top three reach almost 80%.

Hyperliquid is available at OKX and Bybit.

Revenues concentrate among a few winners

Valente argues that the market structure is fundamentally changing. While previous bear markets also caused pain, the current consolidation runs far deeper. Teams and exchanges that cannot demonstrate product-market fit are shutting down. This applies to apps, middleware and Layer 1 networks simultaneously.

The figures in the chart speak volumes: Hyperliquid is taking an ever-larger share of total app revenues, visible as the large orange bar that remains dominant over time. Pump.fun (blue) follows closely. Add Ethena to that, and three projects together represent nearly four-fifths of all revenues in the sector. The Hyperliquid price currently stands at $55.15, with a slight decline of 0.3% in the past 24 hours.

More bankruptcies and acquisitions ahead

Valente expects consolidation to accelerate further in the coming months. He anticipates more mergers and acquisitions, Chapter 11 bankruptcy filings, project shutdowns and so-called acqui-hires in which talented teams are taken over without the product remaining. That may sound harsh, but he sees it as a positive development for the sector in the long term.

Wu Blockchain reports that Valente compares the situation to previous bear markets, but notes it is more structural in nature. Capital is no longer flowing broadly into the market, but is instead targeting the strongest projects. This fits a broader trend in which investors are becoming more selective about where they park their money. The expectation is that only platforms with genuine user adoption and proven revenue models will survive this phase.