THE FUTURE OF CRYPTOCURRENCY (1)

Cryptocurrency is a lifeline for you:

Perhaps you are among the 70% of Americans who disapprove of the actions of Congress and no longer trust politicians and their decisions, given that they spend money unnecessarily and ruthlessly and insider trading goes unpunished.

You yearn for an alternative to the centralized plans of Washington and Beijing.

Crypto is a way for you to make your point:

Or maybe you are a populist, right-wing or left-wing, who is terribly angry that Wall Street has never been held accountable for fomenting the last financial crisis, and generally benefits the most from federal policy.

Or you’re worried about Big Tech’s monopoly, censorship, and total control of your personal data.

Crypto is more of a weapon for you:

Of course, maybe you came to crypto for easy money, jpegs and memes. That’s not a bad thing either.

It doesn’t matter what motivates your self-interest or something else.

Either way, one of the main unifying forces, obviously, is the belief that decentralized technology with built-in financial incentives (not a bad acronym for Web3) offers a cool, often profitable alternative to existing, outdated institutions.

There is no escape from cryptocurrency

In the “real” world, things will first get worse before they get better.

In the short term this is good for crypto, but in the medium term it is riskier because more and more cryptocurrencies and their users will be subject to censorship, which will increase from Western technology and banking platforms in the context of the Biden administration’s crackdown on cryptocurrencies.

But sooner or later the user-owned economy will overtake the monopoly-owned economy in the long run. We will dissect a lot in this report, but the basic theme is the same: we are moving away from an Internet built on the “rented land” of monopolists, to the infinite frontier of new possibilities. Crypto, by and large, represents the obvious evolution of all monopolies, and it is its inevitable arrival that scares officials.

It already has everything to succeed:

Talent: a record number of brilliant, passionate, ambitious young developers are creating open source solutions in the crypto ecosystem, often on nights and weekends.

Capital: the gigantic amount of money raised by venture capital funds and the huge amount raised for crypto start-ups, as well as the staggering growth of new liquid protocols across Web3.

Timeliness: the necessary infrastructure was created during the last bear market, which facilitated (socially and practically), the development of this techno-political movement.

The new generation is eager to invest in innovative technology.

DeFi offers contributors 5% vs. 0.5% on Wall Street.

NFT non-exchangeable tokens give creators monetization opportunities without 50%+ commissions to Hollywood.

We are 99% sure that cryptocurrency will grow by orders of magnitude by 2030 because the user economy is so much more attractive.

Bridges, pictures, DAO

Web3 is a great term encompassing:

● Cryptocurrencies
● Smart contracts
● Decentralized hardware infrastructure
● NFT
● DeFi
● Metaverse
● DAO

We expect growth across the Web3 spectrum, but 3 areas are still underdeveloped:

● NFT infrastructure.
● DAO toolset.
● Bridges between protocols.

There is an explosion of innovation in the NFT realm right now.

It’s unclear how much growth specific collections will be able to achieve, but I do know that robust and user-friendly tools for NFT are still lacking.

Marketplaces, financial primitives, author tools, business models for the community, and decentralized identity/reputation management systems are all in their infancy.

It is this core infrastructure that will be one of the most in-demand areas in terms of investment in 2022.

All of this is true for DAO tools, which the cryptocurrency community needs right now, when voting apathy is reaching critical levels and investments are taking too long.

If you also believe that open, token-driven markets will replace companies in the next 10 years; and recognize that their communities need 100-fold improvements in collaboration tools to work more effectively than centralized competitors; and know that every DAO treasury transaction is now essentially subject to board-level voting; then you understand why 2022 will be the year of DAO tools.

Last but not least, the backbone of the cryptosystem: Ethereum scalability and interoperability solutions.

Ethereum blockchain has reached the limit of its capabilities this year.

Tier 1 alternative crypto platforms have increased in value 50–100 times, because investors have bet on the development of crypto solutions for parallel use in new ecosystems and to meet excess demand.

If we are destined for a multi-blockchain future, whoever can create the best way of multi-blockchain connectivity and help move assets comfortably between blockchains, zones, rollups, will conquer the (virtual) world.

Continue reading for rest topics…

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