Aptos ($APT): 3 Key Problems With APT Fundamentals
There’s been a lot of buzz around Aptos lately.
That’s always a good sign to take a closer look at the project’s fundamentals.
Spoiler: When it comes to Aptos, it paints a pretty pessimistic picture.
But first things first. To understand that, we need to look at some key Aptos stats.
Here we go:
• Total fees earned so far this year: $1.4 million
• Total spending this year: $504 million
• Fully diluted valuation (FDV): $14.5 billion
Here are 3 Key Problems With $APT Fundamentals
Breakeven is a big challenge
If Aptos were to quintuple its transaction fees and increase daily transactions by 100x (an astronomical jump), it would breakeven under current costs.
Valuation vs. Reality
Defending the $14.5 billion FDV would require a fundamental shift in revenue and user activity well beyond current levels.
Sure, cryptocurrency pricing often takes into account future possibilities more than current fundamentals. That’s understandable for a nascent industry. But as the space matures, fundamentals will become more important. Projects like Aptos, whose valuations far exceed their revenues, will face severe corrections unless they can scale significantly.
To the moon