Looking ahead to the future, looking back at the past.
2022 may be the most painful year for many people. The unlimited rate hikes by the Federal Reserve have triggered a series of market black swan events. Then, the myth of Luna's empire began to collapse, dragging the entire crypto market into a bear market. However, it did not end there. The financial empire of FTX also fell from grace under a crisis of trust, once again shattering the wavering greed of the majority. The market once again fell into deep panic, and I believe that even now, many people are still in a state of shock.
At the beginning of the new year, it is full of new opportunities and expectations. In the past year, SBT, DID, NFT, layer2, APTOS, and others have become hot topics in the market and have attracted attention. Although market sentiment is not high in a bear market, the enthusiasm for different blockchain projects has not diminished. There is still hope and confidence in the development of the crypto market. This may be confidence in the cyclical bull market pattern of the crypto trading market every four years, or it may be faith in the future development of blockchain. Regardless of the logic behind it, people's constructive enthusiasm for web3 is gradually rising.
2023 is a year full of uncertainty, with thoughts of war, food crises, inflation, and the decline of globalization's economy constantly floating in people's minds. If I were to characterize 2023, I believe it could be a turning point where the old order is replaced by a new one, a reboot, so to speak. 2023 started with a bull run during the Lunar New Year, and many people not only experienced joy in the new year but also gained wealth. But has the bull market really arrived?
If we look at the entire history of cryptocurrencies, this rise may only be a rebound, as the saying goes, "the darkest hour is just before the dawn." Even in a negative market situation, there can be a satisfying rebound. Considering some data analysis, the entire market currently does not have much incremental capital. In other words, many institutions still believe that now is not the best time to buy the dip. Of course, institutions have their own considerations, but for individual retail investors with limited funds, limited knowledge, and limited resources, I believe that starting a dollar-cost averaging strategy in this year may be the best approach. If the external environment does not deteriorate too much, the whole of 2023 may be a year of recuperation for the crypto market. The cryptocurrency market may enter a long period of consolidation, but for web3 builders, it may be a year full of opportunities.
In 2023, I personally believe that the market will bring some surprises, which may come from gamefi and web3. First, in the field of gamefi, I believe that there may be some high-quality game ecosystems emerging, which are likely to be designed and developed by web2 teams. Highly playable games may reawaken people's understanding of gamefi. In the past, when participating in gamefi games, the focus was on the "fi" rather than the game itself. This outcome may come to an end in 2023, with a focus on user experience and immersive games that may be launched. They may redefine gamefi, redefining the value of users and the game itself, capturing the value of users through various proofs, and ultimately achieving a win-win relationship with users.
Games will determine the authenticity of users through the POV (Proof of Value) of their SBT chain data, and then perform POW (Proof of Work) based on the actual tasks of users in the game, ultimately delivering value to users.
On the other hand, I believe that AI may become the highlight of 2023. The integration of AI and gamefi may accelerate the popularization of gamefi and orderly promote the development of web3. In the past year, pixelated games played a major role, but in the coming year, there may be more UCG (User-Created Game) games that allow users to have a greater sense of immersion in the game.
In addition to gamefi, DEFI is also worth paying attention to. After more than a year of leverage cleaning, the entire DEFI market has entered a rational period. It is imperative to upgrade protocol algorithms with the help of AI and build a green and sustainable DEFI market protocol.
Public chains are definitely an area of focus for everyone, such as Sui, ALEO, Fuel, and other latecomers. Among them, Aleo and Fuel are worth paying special attention to. One is to build a privacy-focused public chain, and the other is to build a modular public chain. Of course, there are many other public chains worth paying attention to. In terms of Layer2, zkSync and Arbitrum are definitely not to be missed. Although zkSync 2.0 is currently in the public testing phase, the native ecosystem is already quite powerful and deserves special attention. Moreover, the gas fees are quite low, and the future potential is unlimited.
AI may become the keyword of 2023. With the development of web3, AI will be integrated into more and more fields. For example, in content creation and the generation of digital humans, AI will play a huge role. Of course, in the development of socialfi, AI will still play an important role. Through intelligent algorithms, AI can recommend interesting content to users in a more user-friendly manner. At the same time, users can also use the built-in AI generation tools to create their own favorite online avatars. The integration of AI may usher in the development of a new generation of web3 and the beginning of a new era of social metaverse.
In 2023, let's work together to create a beautiful time for web3.