On-chain analytics firm Parsec is shutting down after five years, citing a sharp shift in crypto trading flows and on-chain activity that left its business model out of step with the market.
“Parsec is shutting down,”
The company said in a post on X, as chief executive Will Sheehan acknowledged that the firm’s strategy had diverged from where the industry ultimately moved.
“Post FTX DeFi spot lending leverage never really came back in the same way, it changed, morphed into something we understood less,”
Said Sheehan, adding that:
“The market zigged while we zagged a few too many times.”
Sheehan said Parsec’s primary focus on decentralised finance and non-fungible tokens fell out of favour as NFT sales dropped to $5.63 billion in 2025, down 37% from $8.9 billion in 2024, while average prices slid to $96 from $124, according to CryptoSlam data.
“It was quite the ride,”
Parsec said, adding it was “eternally grateful to those that traversed the ups and downs on-chain,” and following the announcement the Parsec share price was unchanged at $0.00.
The firm, which launched in early 2021 with backing from Uniswap, Polychain Capital and Galaxy Digital, expanded during a period when Bitcoin surged from roughly $36,000 to $60,000 within months.
The closure follows start-up Entropy’s recent wind-down and comes as Tom Farley of Bullish predicted industry consolidation, with Bitcoin still down 46% from its October all-time high of $126,100 amid renewed volatility.
At the time of reporting, Bitcoin price was $67,822.21.