There was a big year for cryptocurrencies and blockchain.
We can see the numbers: 80 million unique crypto wallets, 60 percent growth in Bitcoins and 40 percent growth in ether, the NFT market generated $2.5 billion in trades, and El Salvador adopted bitcoin as official currency. Burger King made a whopper when they got in on the action. Impressive? Absolutely. Is there a point where mass adoption of the two technologies is possible? Not quite.
Only 1% of the world's population has a unique coin wallet, even though DeFi, cryptocurrencies, and other products came online in 2011. Media coverage, financial institutions, and companies with large marketing budgets made it seem as if mass adoption was already here. We are not there yet.
We think that will change in 2022. Here are five trends we expect to see in 2022, and what you can do to navigate the challenges ahead.
Expect more diverse uses.
Consumers are aware that there is a digital currency, but they don't understand its benefits. It is seen as an investment tool for institutional or retail investors, a novelty, or something that caters to the trendiest of the Gen Z crowd. Expect this to change in 2022, with the emergence of reward redemption platforms that trade airline miles intocryptocurrencies.
Some of this has already been seen with NFTs that cater to art and sports fans. We will see it branching out into other areas such as wine, sneakers and other collectibles, bringing in new users.
When NFTs are tied to something they know and are enthusiastic about, it will start growing among that community. Keep an eye on companies that are pushing into collectibles as a way to broaden the reach ofcryptocurrencies.
There has been a surge in the use ofcryptocurrencies.
Even the terminology for cryptocurrencies is difficult to understand for the lay person. We will see easy to use and understand cryptocurrencies in 2022.
DApps are applications that run on a P2P network and are cheaper than the more well-known ones. They don't require users to provide personal information. It will start with global digital asset payments, recurring buys, or tipping, but will grow to include multiple types of transactions, which will increase user adoption.
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