Crypto wallet revenues drop 60% in H1 2026, 1kx report finds

Crypto wallet revenues fell 60% in the first half of 2026, according to a new report from crypto investment firm 1kx, underscoring the sector's sensitivity to broader market conditions. The decline reflects reduced user activity and trading volumes that have compressed fee-based income for wallet providers across the industry. The finding highlights the vulnerability of revenue models that depend heavily on transaction activity, prompting calls within the sector to reevaluate how wallets monetize, including potential shifts toward subscriptions or other recurring revenue streams. Analysts note that wallet revenues have historically tracked market cycles, making the H1 2026 drop consistent with broader crypto market weakness. Market participants will be watching whether wallet providers diversify their monetization strategies and whether a recovery in on-chain activity reverses the revenue trend in the second half of the year.