It seems that crypto winter is slowly leaving the market. Who are the biggest survivors of this period of unprecedented crisis?
The crypto winter has done more damage to cryptocurrencies than you might think
While the cryptocurrency situation seems to be improving steadily, It’s time to take stock and rebuild the industry. How bad is it?
To answer the question, Binance Research published a report assessing the state of the industry at the beginning of 2023. According to him, The crisis would have undoubtedly affected the most important cryptocurrencieswith the loss in market capitalization divided by three for most tokens.
DeFi: Falling Before Rebounding?
The phenomenon is also evident on the DeFi side, although the sector has gone through a crisis since the end of 2021. Thus, The total value of decentralized finance has shrunk by 25%..
The loss of capital is, of course, due to the successive crypto crises, particularly with the fall of Terra which captured nearly 25% of the total value held in DeFi.
What caused users to flee and even, according to the latest report from CoinGecko, investors to flee. While decentralized finance is driven by an explosion of fundraising in 2021, fundraising is down 42% last year..
The end of the non-fungible tokens craze
It has already announced itself at the beginning of 2022 but the crisis has only accelerated the downfall of the non-fungible tokens. After popular returns during the spring, Small Digital Pictures had sales stagnant below $1 billion as of last June.
So it seems like a long hiatus is in store for NFTs, especially since their model is subject to market fluctuations as well as various hacks. According to Devin Fenzer, CEO of OpenSea, It will be necessary to wait for the latter to clean up their ecosystem to see investors return.
Thus, the rebuilding of the NFT market is in full swing, with new economic models such as buying digital businesses for tax gains. Time will tell if such initiatives have helped rectify the situation.
With the crypto winter intensifying, it seems somewhat logical that gaming has become the last priority for individuals and businesses alike. Thus, Plot sales within the various metaverses have slowed dramatically From the first fragility of the industry.
Binance Research estimates that the latter could have fallen by 96%, calling into question the sustainability of the sector.
However, virtual worlds will continue to find their audience while experts predict their explosion by 2030.
On the crypto gaming side, cryptocurrency transactions follow the same pattern, with three-quarters down after Terra’s fall. Here too, the sector does not seem to be concerned about its position as money continues to flow to the companies.
However, cryptocurrency gaming is expected to have a lower than expected importance in overall industry adoption. According to a report by the Blockchain Game Alliance, developers are now content to improve their games in order to win new users… but also to preserve existing ones.
So it doesn’t seem like the explosion is at the moment, but it seems that all efforts are being made, and these are the most important, to standardize.
Moral of the story: if the candle is beautiful and clear, we have winter behind it.
Not giving an opinion
All information on our website is posted in good faith and for general information purposes only. Any action taken by the reader based on the information on our site is strictly at his or her own risk.
Commentaires
Enregistrer un commentaire