Even though its still in its infancy, the cryptocurrency industry has seen significant growth and development in recent years with many experts believing that these trends will continue. Below are some predictions about the industry for 2023 and beyond:
- Increased User Adoption: As more and more individuals begin to understand the benefits of cryptocurrencies, we can expect to see the adoption of these digital assets continue to increase. According to Chainalysis and their Global Crypto Adoption Index, emerging markets are the biggest growth sector when looking at the index divided by countries.
- Government Regulation: Governments around the world have started to take notice of the potential impact that cryptocurrencies could have on traditional financial systems. While some countries have embraced this and passed favorable regulations, others have taken a slower more hesitant approach. A recent Cointelegraph article stated “New laws will be needed both to protect consumers and to allow the crypto industry to continue to innovate.”
- More Institutional Investors: Until recently, most of the investors in cryptocurrencies were individuals. This is changing as more and more institutional investors are starting to invest in and start their own projects in the space. This influx could help stabilize prices as well as bringing new products to market such as crypto-based mortgages. A recent survey published by CoinJournal cited institutional investors’ “increased interest” and their “need to gain exposure” to digital assets.
In addition to the topics listed above, one can only speculate about the future of such a new asset class. However, with increased adoption one can also expect to see improved security measures, increased competition between projects and new innovations in blockchain technology.
