December 27, 2022
It's difficult to predict exactly what the future will hold, but there are a few trends that are likely to shape the blockchain and cryptocurrency industry in 2023. Past year has been an eventful ride creating some fascinating trends that could shape our industry.
One trend that is likely to continue is the increasing regulation of the market. As the industry continues to grow and mature, it's natural that governments and regulatory bodies will want to ensure more control and transparency in the market. 2022 was a year with a lot of negative connotation with the fall of various companies such as Luna and FTX. While some may see this as a burden, increased regulation could ultimately lead to greater trust and adoption of cryptocurrency which in turns leads to more traditional capital entering the market. We think 2023 will be a year of sentiment recovery and various governmental entities entering the space by creating their own stable coins and further experimenting with the underlying concept of NFTs.
Another trend that we may see in 2023 is the rise in interest in decentralized social media platforms. As the world becomes increasingly connected and reliant on the internet, social media has become an integral part of our daily lives. However, with the centralization of these platforms, there are concerns about data privacy, censorship, and the influence of a few large corporations. Decentralized social media platforms, built on blockchain technology, offer an alternative that puts users in control of their own data and gives them a greater say in how the platform is run. We may see more adoption of these platforms in the coming years as people become more aware of the benefits of decentralization.
BAAS, or Brands as a Service, is a relatively new concept in the crypto world. The idea behind BAAS is to use the decentralized nature of blockchain to create a more efficient and secure way for companies to manage and protect their brand assets, such as logos, trademarks, and other intellectual property. One potential application of BAAS in the crypto industry is to create and manage digital assets, such as virtual collectibles or tokens that represent a company's brand. This could potentially allow companies to create unique and valuable assets that can be bought, sold, and traded by consumers, providing a new way for companies to engage with and monetize their brand.
Finally, the growth of decentralized finance (DeFi) is another trend that is likely to continue in 2023. DeFi refers to financial services that are built on blockchain technology and are operated in a decentralized manner, without the need for traditional financial intermediaries. DeFi has gained a lot of attention in recent years due to its potential to increase financial inclusion and reduce the cost of financial services. As bankruptcies continue to spark fear amongst investors, an increasing amount of people have turned their attention towards decentralised products. With the FTX incident shaking market confidence in centralised exchanges, we've observed a 20% rise in total value locked and anticipate further growth throughout 2023.
In terms of overall adoption of cryptocurrency, it's difficult to say exactly what the future will hold. According to a survey conducted by the Blockchain Research Institute, the number of people owning cryptocurrency has more than doubled since 2019, and this trend is likely to continue as awareness and understanding of cryptocurrency increases. Additionally, as more businesses and institutions begin to accept cryptocurrency as a form of payment, we may see further adoption and mainstream acceptance of these assets.
Overall, the blockchain and cryptocurrency industry is likely to continue evolving and growing in 2023, with more regulation, the rise of decentralized social media and DeFi, and further adoption of digital assets. Keep an eye out for the upcoming Trends 2023 Part 2! Our team is working on fresh insights about what will shape our world in the very near future. Don't miss it – stay tuned and join us soon to learn more!