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This year will be a roller coaster for financial markets. From supply chain woes to possible regulation of cryptocurrencies and NFTs, there are a few trends tech executives and investors should keep an eye on in the coming months.
1. Universal adaptation of cryptocurrencies
In recent months, there has been an increasing adoption of crypto tokens in the traditional financial system. For example, El Salvador became the first country to adopt Bitcoin as legal tender in September 2021. Following this trend, the Central African Republic became the first country on the continent, and the second in the world, to approve Bitcoin as legal tender. It is increasingly likely that other countries will incorporate some form of cryptocurrency into their existing financial models. This may increase adoption within the system, thereby building further trust among potential users.
Related: Exploring the Modern Crypto World
2. DeFi grows by leaps and bounds
While Decentralized Finance is only in its developmental stage and its full adoption involves many risks, 2022 will be a positive year for DeFi, bringing some key changes – mainly the move to centralized inefficient automation-based zones The programs of the blockchain are transformed into smart contracts. As for security, as more and more people believe in their respective investment propositions, projects that invest a lot of money should be favored. Interestingly, it is even possible to generate passive income through DeFi.
3. The potential of NFTs
Non-fungible tokens have great potential because of their ability to transfer rights related to virtual and physical property. As a result, interest in NFTs is likely to grow, treated and held by traditional institutions such as museums and galleries. In fact, some big companies and celebrities have seen NFTs as the new cornerstone of the virtual economy. The beauty of the NFT market is that it is similar to the internet’s inception, with multiple emerging tech companies vying to break into the space with their own passions and talents.
Related: What are NFTs? In the next billion dollar crypto sensation.
4. Upcoming regulations by the government
Although most countries around the world have yet to decide whether to regulate the cryptocurrency industry, it is still a pressing topic. The lack of a framework can seriously impact the field by stifling ongoing innovation. Fortunately, innovative concepts like DeFi, NFTs and even the metaverse will make it harder for the industry to regulate government entities. In fact, policymakers will likely have to focus on creating legal frameworks for projects such as virtual worlds. The technology has garnered global media attention from enthusiasts and skeptics alike, so clear guidance on what can and cannot be done in virtual reality will help legitimize the effort.
5. Jobs and business opportunities for crypto experts
As the crypto space expands, so does the greater demand for blockchain and crypto skills. The growing popularity of cryptocurrencies and the technologies that make them possible have propelled the growth of the blockchain industry, leading to a higher demand for specialists in the industry. Blockchain, for example, is at a moment when businesses and even governments are starting to realize the potential the technology has in improving people’s lives and creating stronger organizations. The same goes for agencies that specialize in public relations, with some specialized businesses hiring experts in the field to serve clients and help increase business and media coverage. Regardless of the crypto-related field, companies need experts to achieve their business goals.
Related: How to Build a Career in Blockchain
While the situation is evolving and will continue to evolve, the techniques and points outlined are sure to revolutionize the way we work for decades to come. DeFi, NFTs, and universal adaptation are just some of the points where rubber finally hits the road and enables real-world use cases. Come on!
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