Top Crypto Trends to Watch in 2022
There's no doubt that the past year or so has been a wild ride for the crypto world, and it looks like things aren't slowing down anytime soon. At the start of 2021, people made some predictions about what trends would develop over the course of the year of which some trends developed more quickly than expected.
Digital currencies will continue to gain popularity, as they provide a means of transacting online that is much faster and cheaper than using legacy payment systems like credit cards and bank transfers. As the cryptocurrency market matures, experts expect key trends to set the pace for 2022.
Decentralized finance will grow
Decentralized finance (DeFi) will evolve over time, with more DeFi use cases being used within different sectors. As the adoption and use of DeFi increases, people can expect to see more innovations related to DeFi in the coming years. In particular, blockchain-based DeFi platforms will continue to grow and expand as they become more mainstream.
Over time, DeFi solutions will likely become easier to use and more accessible for businesses and individuals alike. It’s also possible that consumers could see an increase in traditional financial services moving onto blockchain networks or implementing some form of decentralized technology — for example, allowing users to manage their accounts through a decentralized protocol rather than a centralized system.
Gaming and the metaverse
In 2020, NFTs became a global phenomenon overnight. In 2021, gamers and artists took advantage of these digital assets to make art more interactive, transparent, and valuable.
It's not just gaming that's seeing NFTs thrive. The metaverse is increasingly becoming a creative hub for artists and musicians who are using NFT sales to connect with their audience.
In 2022, things will likely get even more significant for both games and the metaverse as artists find new ways to use their creativity to diversify their income streams. With powerful platforms like Decentraland taking off and world-class brands like Louis Vuitton exploring NFTs, expect the metaverse to continue evolving in exciting ways.
Data privacy will be a top concern
In general, we’re going to see a continued focus on data privacy as social media companies and other services continue to collect user information for profit or marketing purposes. The ability for consumers to control their data and determine how it’s used has been a growing topic of conversation over the years. Cryptocurrency investors are interested in keeping their transactions private, and many cryptos allow for anonymous transactions.
Web 3 will start to take shape
The idea is that browsers could become hubs for decentralized applications (DApps). Web 2 was about connecting people via social media, but Web 3 is about connecting machines and computers to each other directly. DApps will allow us to trade data in new ways, creating value that didn't exist before.
The emergence of central bank digital currencies (CBDCs)
There are more than 20 CBDC projects across central banks today as they consider how to address the rise of digital currencies like bitcoin and Facebook's Libra. We expect some of these projects to launch in 2022, which will be an essential milestone for digital currency adoption worldwide.
There are more than 20 CBDC projects across central banks today as they consider how to address the rise of digital currencies like bitcoin and Facebook's Libra. We expect some of these projects to launch in 2022, which will be an essential milestone for digital currency adoption worldwide.