2022 was filled with many changes in the market. The Ukrainian War has greatly affected the confidence of investors around the world. Also, the increase in interest rates by the Fed, the US central bank, the rising inflation and recession of the world economy they have greatly affected the cryptocurrency market and, of course, the cryptocurrencies themselves. A clear example of this was the volatility of Bitcoin prices, among others. In Brazil, specifically, the presidential elections and their consequences.
Also, the year ended with the collapse of FTX, further impacting the market. This volatility, despite being negative, also brought good business opportunities and profits for traders and makes us think that always it is necessary to be attentive to macroeconomic, social and political trends that affect business routine.
For Cointelegraph in Spanish, César Felix, NovaDAX Customer Experience Manager, highlights seven trends for 2023.
Regulation
With the regulation of crypto assets approved by Congress and sanctioned by the president in December, Brazil is on the way to having a solid structure in relation to the legal security of the market. Although the project left some important points out of the approved text, the regulation is a very important milestone for the Brazilian crypto economy.
The legislation aims regulate services and prevent money laundering involving crypto assets. With the new law, it will be much more difficult for non-professional players to grow in the market and we certainly won’t see any more famous cases involving million dollar financial pyramid schemes.
“The regulation will make the market more attractive to investors, which will result in the creation of new jobs and the development of new technologies in the sector.says Cesar.
CBDC and Real Digital
According to him, in 2022 we saw growth in world markets and this movement is coming to Brazil with the CBDC, an acronym for Digital Currency of the Central Bank. The Central Bank announced the launch of the Real Digital, the digital version of the Brazilian currency, by 2024However, a test is due to be released in 2023. As it is a circulating coin, it will be regulated by BACEN, the Brazilian monetary authority, which makes it centralized.
Another important difference of the project is that CBDC is treated as an everyday currency and not as an asset. For example: it can be used to pay a water, electricity, telephone bill, very similar to the PIX.
César says that this is a global trend for the coming years, countries like The United States, South Korea and Sweden have already announced the creation of their coins, and other great powers such as Japan and the United Kingdom are in an advanced stage of study for the launch of their coins..
NFTs
In 2022, NFTs did not experience the expected growth that the market had projected. Nevertheless, by 2023 non-fungible tokens are expected to fit into the business model of traditional companiesas happened in the 2022 World Cup, where they were used to sell exclusive competition products.
For him, another important point is that NFTs will challenge some traditional business models, decentralizing the economy of companies already consolidated in the market. For example, electronic gaming companies tend to stick to this technologywhether it’s selling customizations for characters in NFT games or even exploring the endless possibilities of the metaverse.
“The great differential of the NFT is that it carries a value, it is not restricted to a specific platform, that is, whoever acquires an NFT has a unique product with added value that can be exploited.“, keep going.
Web3
Web3 is a new phase of the Internet, in which users are in full control of their online activities.which gives people more privacy and freedom. Previously, the data was stored in the large technology companies in the sector, and at this time the proposal is the decentralization of traditional internet servicesranging from conversations to financial transactions.
César says that in 2023 a greater adoption of operational tokens within the Web3 is expectedthey work with the information necessary to carry out financial operations that were previously carried out in the traditional way, generally slower and more bureaucratic.
“In addition, the forecast for total monthly players on Web3 has high expectations to increase as various triple-A games hit the market. The total addressable market (TAM) in traditional gaming is huge at $300 billion and 3 billion people worldwidehe adds. Gaming is a native digital activity and hundreds of millions of gamers around the world are already buying and using in-game items (also known as digital assets).
Throughout the industry, gaming companies have been hiring experts in blockchain, NFT and cryptography as they search for the next evolution in gaming. With blockchain gaming and metaverse platformers on the way to attract $9 billion in VC investment this year, the chances of a big hit in 2023 are huge.
DAO
He also talks about the DAO, Decentralized Autonomous Organizations. They are organizations that work in a decentralized way. allowing a management without hierarchy and without bureaucracy. In 2023 it is expected that more DAOs will be created, since they are of great importance in the crypto-economy, considering that their main points were the basis for the creation of Bitcoin.
“The DAOs allow the creation of smart contracts on the Blockchain, guaranteeing security at all stages. I think that because they are open source organizations that work in a transparent way, in 2023 they have everything to become popular in the cryptocurrency market.“.
Bitcoin
Bitcoin has gone through many changes, but it has not lost its most important monetary position.. “It is true that the asset faced some falls during the last year, but previously, in a low period, Bitcoin reached the approximate value of twelve thousand reais, when today the asset, even in continuous decline, averages around 90 thousand reais.“Cesar says.
He goes on to state that The economy is going through a moment of instability in general, but the bankruptcy of some companies and the increase in interest rates does not change the fact that the crypto economy is already consolidated and that BTC will continue to be important to traders, with a very promising path ahead. Also, there is a high probability that the war in Ukraine will continue in 2023. With that, a large amount of capital from the European continent would be sent to the United States. And if the euro falls below parity with the dollar, as it has done before in 2022, It is very likely that many Europeans see Bitcoin as a good investment option.
ethereum
Finally, the manager comments on Ethereum, which underwent the biggest upgrade in the history of crypto assets in 2022 and “The Merge” paved the way for an increase in transactions in the coin. In 2023 it will continue on this path with new updates that will attract even more investors.
“2023 will be a very important year for the crypto market in Brazil. Traders will have more investment options, and with a regulated market, crypto assets will become more and more a part of our daily lives. Investors must make their investments consciously, strategically and based on the political, economic and health trends that will affect the market throughout the year.”, ends.
Disclaimer: The information and/or opinions expressed in this article do not necessarily represent the views or editorial line of Cointelegraph. The information presented here should not be taken as financial advice or investment recommendation. All investment and commercial movement involve risks and it is the responsibility of each person to do their due research before making an investment decision.
It may interest you: