Blockchain and crypto assets have made tremendous strides in 2021 in virtually every way. The current year did not necessarily get off to an amazing start for the global crypto asset space. Nonetheless, the digital assets managed to make a mark.
Moreover, NFTs and stablecoins left a mark as well. Now as 2021 comes to a close: it is the time for lists, predictions and forecasts for 2022. Forbes released some insights to discuss these projections.
Crypto And Blockchain Predictions For 2022: by @SeanSteinSmith #NFTs will become boring.#Stablecoins will be mainstream.#Crypto payments are here to stay.#Bitcoin will hit 100k.https://t.co/sksG6ioKDb
— Forbes Crypto (@ForbesCrypto) December 21, 2021
The global market for non-fungible tokens hit $22bn (£16.5bn) this year as the craze for collections such as Bored Ape Yacht Club and Matrix avatars turned digital images into major investment assets.
NFTs confer ownership of a unique digital item upon someone, even if that item can be easily copied. Ownership is recorded on a digital, decentralized ledger known as a blockchain. But, this buzz might fade away. The article notes,
“NFTs will become boring. This might strike some readers as a bit of a reach, especially since there is so much that is misunderstood by the mainstream marketplace in terms of how non-fungible tokens (NFTs) operate and are valued.”
Not as scintillating as watching NFTs prices vacillate, but blockchain enabled ownership appears to be the future of NFTs for mainstream adoption.
Mainstream use of stablecoins is picking up, with the market growing from $5 billion in December 2019 to more than $158 billion in December 2021. One reason for this growth is stablecoins’ inherent advantages over current financial technologies.
For instance, stablecoins can be transferred instantaneously to anyone around the world with little to no transaction cost. A similar sentiment was projected in this article.
“As the calendar flips to 2022, and as geopolitics continues to influence and partially direct the crypto-asset conversation, the rise of stablecoins is a trend that cannot be ignored.”
Ergo, stablecoins are expected to become mainstream.
These are “here to stay” as noted in the article.
“With the adoption of crypto-asset payments by major organizations such as PayPal, Visa, and Mastercard during 2021, the trend toward crypto-assets being used for transactional purposes seems to be a permanent one.”
Love cryptocurrencies or hate the very idea of them, they’re becoming more mainstream by the day. Cryptocurrencies have surged so much that their total value has crossed more than $2.5 trillion. Thereby, rivaling the world’s most valuable company such as Apple.
At this size, it’s simply too big for the financial establishment to ignore. Bitcoin the largest crytpocurrency could see the most anticipated triple figures next year. During this year, BTC did exhibit some of its historical volatility. Thereby ranging from lows around $30,000 to all-time-highs of nearly $70,000. This is why, the said article asserted,
“Setting aside market volatility, and seeking to remain as objective as possible, the case for $100,000 bitcoin seems to have support points.”
Rising inflation, the continued monetary easing around the world and the proliferation of crypto assets all support this claim.
Web3 to rule the roost
There’s a buzzword that tech, crypto and venture-capital types have become infatuated with lately. Conversations are now peppered with it. Web3. Right now, the idea of the entire Internet reinventing itself may sound like some far-away digital utopia.
But Web3 is the new buzz — and generating lots of new money, particularly from crypto investors.
The report stated,
“If 2021 was the year that Web3 became a buzzword, 2022 will be the year that the values behind Web3 start to make a lasting impact on the way we operate as a society.”
Furthermore, the expected prominence of Web3 has been widely acknowledged.
“Web3 projects tend to be more inclusive and supportive. Given the nature of shared ownership, people’s success is closely tied to the quality of contributors in their network. This dynamic creates a more collaborative work environment,” shared Julia Lipton, founder of Awesome People Ventures.