Grayscale and CoinShares Apply Traditional Valuation Methods to Crypto as Institutions Assess DeFi Revenue

Grayscale and CoinShares are applying traditional valuation techniques to crypto assets as institutional interest expands toward decentralized finance (DeFi) protocols that can generate revenue. According to Cointelegraph, the approach reflects a broader effort by institutions to evaluate crypto assets using frameworks commonly used in traditional markets while assessing how DeFi activity may support more measurable cash-flow-like metrics. The development highlights how asset managers are adapting established analytical tools to a sector that has often been valued primarily through market narratives, network activity, or token supply dynamics rather than conventional financial measures. The focus on revenue-generating DeFi protocols suggests that institutions are paying closer attention to onchain sources of fees and other forms of protocol income when considering how to compare crypto assets and structure investment theses.

The report indicates that these valuation efforts are taking place as institutions explore DeFi protocols with identifiable revenue streams, potentially enabling more standardized comparisons across assets. By applying traditional valuation methods, Grayscale and CoinShares are aligning parts of crypto analysis with familiar institutional processes, which may influence how certain tokens and protocols are assessed relative to others. The shift also underscores a growing emphasis on fundamentals tied to protocol usage and revenue generation, rather than relying solely on price performance or speculative demand. Cointelegraph’s coverage frames the move as part of an institutional push to integrate crypto into established investment evaluation practices while examining DeFi’s capacity to produce recurring economic activity that can be analyzed using conventional techniques.