XYO, the first DePIN project launched, has secured listing on Kraken after reporting $8.8M in 2024 revenue through its SEC filing.
Why does it matter? The listing of XYO on Kraken marks a decisive turn in how exchanges and investors assess crypto projects. Historically, speculative enthusiasm, flashy marketing, and inflated on-chain metrics such as Total Value Locked (TVL) dominated listing decisions. But XYO’s path to Kraken underscores a broader movement prioritizing tangible business performance over superficial hype.
Founded in 2018, XYO predates the coining of the term DePIN (Decentralized Physical Infrastructure Networks) by three years. The network focuses on enhancing the validity, certainty, and value of real-world data through Proof of Location and Proof of Origin technologies.
With over 10 million nodes, it connects Web3, Web2, AI, and geolocation industries, while maintaining 80% of its user base outside the traditional crypto audience. Its $8.8 million revenue for 2024—publicly disclosed in SEC filings—provided a clear benchmark for its listing readiness.
Moving Beyond ICO-Era Listing Metrics
During the ICO boom, whitepapers, community size, and TVL figures often determined a project’s exchange eligibility. This led to rapid token launches with limited scrutiny of actual financial sustainability.
“In the last cycle, tokens were being launched and listed at breakneck speed based on whitepapers and hype,” XYO co-founder Markus Levin told AlexaBlockchain. He emphasized that U.S. regulatory progress has shifted focus toward metrics more akin to traditional business evaluations—revenue, profitability, and operational sustainability.
This realignment parallels broader capital market developments. Earlier in 2025, Circle Internet Group went public, pricing its IPO between $24 and $26 per share before surging to $69. Analysts attributed much of this rally to Circle’s 53% year-over-year revenue growth, totaling $658 million in Q2 2025. The success reinforced investor appetite for crypto businesses that can demonstrate consistent growth and real-world adoption.
From Institutional to Retail Investment Standards
The evolution in project evaluation initially emerged within institutional circles, where fund managers assessed user acquisition costs, lifetime value, and profit margins before committing capital. However, retail investors have increasingly adopted the same approach, preferring measurable performance over speculative narratives. This shift has also influenced exchanges, many of which now require projects to demonstrate verifiable revenue before listing.
Levin believes this is a “healthy evolution” for the entire industry, reducing the dominance of unsustainable growth tactics. By aligning with revenue-driven evaluations, exchanges reduce exposure to projects unable to withstand market downturns or regulatory scrutiny.
DePIN Market Growth and Competitive Landscape
XYO’s Kraken listing also sheds light on the rapidly expanding DePIN sector. According to the World Economic Forum, the market could grow from $50 billion today to $3.5 trillion by 2028. Venture capital interest remains robust, with over 165 DePIN-related deals and $744 million in funding closed since January 2024. However, most projects will now face higher entry barriers as exchanges and investors demand clearer profitability pathways.
In this climate, XYO’s operational model stands out. Through its COIN app, the network incentivizes participants to collect and validate geospatial data, creating a rich dataset for applications ranging from supply chain tracking to gaming. The project’s dual structure—a non-profit XYO Foundation and the for-profit XY Labs—supports both network stewardship and commercial scalability. XY Labs was notably the first U.S. crypto company to receive SEC approval for a Regulation A offering, enabling investments from both accredited and non-accredited participants. Its shares, tokenized and traded under $XYLB on tZERO ATS, further position it at the forefront of the real-world asset (RWA) tokenization wave.
The End of Speculative Listing Cycles?
If XYO’s listing is any indication, the days of rapid-fire, speculation-driven exchange listings may be numbered. The new threshold—verifiable, sustainable revenue—could redefine which projects survive and thrive. For the DePIN sector, this might mean fewer but more durable network launches, with a stronger emphasis on enterprise adoption and cross-industry integration.
Levin anticipates more projects will follow XYO’s lead, moving away from vanity metrics toward measurable success. “We’ll see more of these businesses thrive,” he said.
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