Definition ∞ Platform disruption refers to a significant change or innovation that fundamentally alters how a particular market or industry operates. In the digital asset space, this often involves new blockchain protocols or decentralized applications that challenge established business models of traditional finance, technology companies, or even existing crypto platforms. Such disruption can introduce superior efficiency, lower costs, enhanced security, or novel functionalities, compelling existing players to adapt or risk obsolescence. It reshapes market dynamics and user expectations.
Context ∞ News articles frequently analyze instances of platform disruption within the crypto ecosystem, such as the rise of decentralized exchanges challenging centralized ones, or new layer-1 blockchains competing with older networks. This concept is central to understanding the rapid evolution and competitive landscape of the digital asset industry.
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