Building Business: A Glimpse of the Web3 Industry During the Downtrend
With the crypto market downturn, it is essential to focus on what the blockchain technology industry has always suggested: build.
Opinion
At the end of May, the price of Bitcoin (BTC) had fallen by 40%, Ether (ETH) had lost 50% of its value and the entire crypto market had fallen below its market capitalization of 1,000 billion dollars for the first time since January 2021. As we enter a clearly bearish market trend, it is essential to focus on what the blockchain industry has always suggested: building.
Bitcoin, Ether, and the broader crypto market slowdown are correlated with macroeconomic uncertainty. Uncertainty is fueled by rising interest rates coupled with quantitative tightening, leading to selloffs in asset prices on the stock exchange and crypto market. It's entirely possible that we could see a repeat of events such as the unraveling of the Terra ecosystem, the fallout of the Celsius crypto lending service, and the $400 million liquidation losses of hedge fund Three Arrows Capital. .
The stock market crash of 2022 to the crypto winter of 2018The crypto winter of 2018 was brought on by negative market sentiment and loss of confidence; however, the crypto winter of 2022 is a direct result of macroeconomics. Decentralized finance (DeFi) is down, stocks are down, and global markets are down. This bear market is not isolated to crypto alone, with a leveraged unwind occurring across multiple markets simultaneously.
Venture capitalists and investors private sector injected no less than 30 billion dollars into blockchain projects. A third of that amount went to gaming and virtual world projects to lay the groundwork for the Web3 metaverse.
While we are seeing an exodus of talent from Web2 projects, we also expect further growth from Web3 brands, with several brands such as Yuga Labs, The Sandbox and RTFKT already partnering with retail giants including Adidas , Nike, HSBC, Warner Bros. and others. Decentralized blockchain-powered applications (DApps) and DeFi have the potential to lead the evolution of Web3 in the future and take control of a handful of centralized gatekeepers.
This indicates that the transition to Web3 is imminent and depends on a catalyst to proliferate. A crypt...
With the crypto market downturn, it is essential to focus on what the blockchain technology industry has always suggested: build.
Opinion
At the end of May, the price of Bitcoin (BTC) had fallen by 40%, Ether (ETH) had lost 50% of its value and the entire crypto market had fallen below its market capitalization of 1,000 billion dollars for the first time since January 2021. As we enter a clearly bearish market trend, it is essential to focus on what the blockchain industry has always suggested: building.
Bitcoin, Ether, and the broader crypto market slowdown are correlated with macroeconomic uncertainty. Uncertainty is fueled by rising interest rates coupled with quantitative tightening, leading to selloffs in asset prices on the stock exchange and crypto market. It's entirely possible that we could see a repeat of events such as the unraveling of the Terra ecosystem, the fallout of the Celsius crypto lending service, and the $400 million liquidation losses of hedge fund Three Arrows Capital. .
The stock market crash of 2022 to the crypto winter of 2018The crypto winter of 2018 was brought on by negative market sentiment and loss of confidence; however, the crypto winter of 2022 is a direct result of macroeconomics. Decentralized finance (DeFi) is down, stocks are down, and global markets are down. This bear market is not isolated to crypto alone, with a leveraged unwind occurring across multiple markets simultaneously.
Venture capitalists and investors private sector injected no less than 30 billion dollars into blockchain projects. A third of that amount went to gaming and virtual world projects to lay the groundwork for the Web3 metaverse.
While we are seeing an exodus of talent from Web2 projects, we also expect further growth from Web3 brands, with several brands such as Yuga Labs, The Sandbox and RTFKT already partnering with retail giants including Adidas , Nike, HSBC, Warner Bros. and others. Decentralized blockchain-powered applications (DApps) and DeFi have the potential to lead the evolution of Web3 in the future and take control of a handful of centralized gatekeepers.
This indicates that the transition to Web3 is imminent and depends on a catalyst to proliferate. A crypt...
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