- Parsec, an on-chain analytics firm backed by Uniswap and Galaxy Digital, is shutting down after five years.
- The company cited a failure to adapt as DeFi and NFT market dynamics shifted away from its primary focus.
- The closure signals potential industry consolidation, following other startups like Entropy in winding down.
- NFT sales volume declined 37% in 2025 compared to 2024, while Bitcoin’s price is down 46% from its October high.
On-chain analytics firm Parsec announced its shutdown on Thursday, marking the end of a five-year run. The company’s CEO, Will Sheehan, said the “market zigged while we zagged a few too many times.” He noted that Parsec’s deep focus on decentralized finance and NFTs no longer aligned with industry trends.
Consequently, the post-FTX landscape saw DeFi spot lending leverage change into something the team understood less. Sheehan added that on-chain activity morphed in a way he never fully grasped. Meanwhile, NFT sales data reflects a cooling market, with 2025 volume at $5.63 billion, a 37% decline from the $8.9 billion recorded in 2024, according to CryptoSlam.
The company expressed gratitude to its community, stating “It was quite the ride.” Nansen CEO Alex Svanevik acknowledged that Parsec “had a great run.” This closure occurs weeks after crypto startup Entropy also announced it was shutting down and returning investor funds.
Industry consolidation may be approaching, as predicted by Bullish CEO Tom Farley in a recent CNBC interview. The broader crypto market shows signs of strain, with Bitcoin’s price declining 46% from its October all-time high of $126,100 to $67,246, according to CoinMarketCap data. Searches for “Bitcoin going to zero” have surged to their highest level since November 2022.
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