Crypto Long & Short: Infrastructure is the prevailing currency in digital assets

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Welcome to our institutional newsletter, Crypto Long & Short. This week:

For years, the digital assets industry has been dominated by debates over which cryptocurrency would emerge as the prevailing medium of exchange. Bitcoin, Ethereum, stablecoins, central bank digital currencies, and countless other innovations have each taken turns at the center of attention. Yet, as the market matures, a more important reality is becoming evident: regardless of which digital asset ultimately facilitates transactions, infrastructure is the true winner.

Unlike traditional financial markets, the digital assets ecosystem was built from the ground up to operate continuously. Twenty-four hours a day, seven days a week, markets remain open, liquidity flows across borders, and blockchain networks settle transactions in real time. This always-on environment is not simply a technological achievement—it is the foundation of a new financial architecture that demands resilience, reliability, and trust.

Technology may be the enabler, but technology alone does not sustain a market. Over the past decade, a new generation of companies has emerged to support digital assets at scale. Exchanges, custodians, payment providers, liquidity venues, compliance specialists, market makers, and settlement networks have adapted to the unique demands of a market that never sleeps. Through continuous innovation and operational excellence, these organizations have become fundamental components of the ecosystem.

As a result, infrastructure today represents far more than software and connectivity. It encompasses processes, people, governance, agents, and trusted relationships. It is the invisible framework that allows participants to transact with confidence regardless of the underlying asset being used. The value of the ecosystem increasingly lies not in any single token, but in the ability to move value efficiently, securely, and seamlessly across networks and jurisdictions.

This trend is becoming even more relevant as real-world assets enter the digital landscape. Stablecoins have already demonstrated the power of blockchain-based representations of traditional value, becoming the most successful digital asset use case to date. Tokenized deposits, bonds, funds, and other real-world assets are poised to follow, expanding the range of opportunities available to businesses and individuals worldwide.

For the end user, however, the underlying asset may become increasingly irrelevant. Most people are unlikely to care about the blockchain protocol, token standard, or settlement mechanism powering a transaction. What matters is accessibility, speed, security, and trust. Users want to access global opportunities using their local resources, through partners they know and platforms they can rely on.

In this environment, the long-term competitive advantage belongs to those who build and operate the infrastructure connecting participants, assets, and markets. Coins may evolve, protocols may change, and new forms of digital value will continue to emerge. But the institutions that enable trust, connectivity, and seamless access will remain at the center of the ecosystem.

The prevailing currency in digital assets may change over time. Infrastructure, however, is what endures.

- By Alen Pavlović, Portfolio Manager, Liquibit CapitalUsing CoinDesk’s liquidation feed, the forced selling flushed early and high. By the time Bitcoin bottomed on 5 June, the cascade was already over.

Bitcoin fell from around $74,000 to $59,081 in the first week of June. The number that traveled was the size of the wreckage. The more revealing number was the timing.