a16z Crypto, the web3 investment arm of Andreessen Horowitz, has unveiled its new "State of Crypto" index, which factors in several adoption and innovation parameters, including the number of active developers, mentions of crypto in academic research, and volumes across decentralized exchange venues. The index declined by 25% while the price of bitcoin is down 55% from its highs in 2021. However, a16z is attempting to illustrate the dichotomy between market cycles and product cycles, according to the firm's chief technology officer Eddy Lazzarin. The firm pointed to the "radical acceleration" of Ethereum scaling solutions and zero-knowledge systems as an example of compounding tech progress.

(By Frank Chaparro)