• Pantera Capital, a crypto-focused venture capital firm, has predicted that the future of crypto lies in decentralized finance (DeFi).
• The bear market of 2020 was worsened by the implosion of multibillion-dollar centralized exchanges and crypto lenders.
• Ripple’s SVP of Global Customer Success, Brooks Entwistle, is exploring crypto-based solutions for climate change.
Crypto-focused venture capital firm Pantera Capital has released its predictions for the future of digital currency in 2023, and the focus is on decentralized finance (DeFi). With about $3.8 billion in assets under management, the firm has identified DeFi as the future of crypto, believing it will promote greater transaction fees, liquidity, and usability.
The past year has seen a number of headline-grabbing exploits and bankruptcies which have contributed to a bear market that has had a dampening effect on the industry. In particular, the implosion of multibillion-dollar centralized exchanges such as FTX and the filing of crypto lender Genesys have had a significant impact on the market.
In light of this, Ripple’s SVP of Global Customer Success, Brooks Entwistle, has been exploring ways in which crypto-based solutions can be leveraged to tackle climate change. As part of this initiative, Entwistle has partnered with blockchain firm Solana and the Global Blockchain Business Council to develop solutions which will benefit not only the crypto industry but the environment as well.
Entwistle has also made predictions for 2023, with a focus on the real-world utility of non-fungible tokens (NFTs) and central bank digital currencies (CBDCs). He believes that these will play a key role in the future development of cryptocurrency, as they have the potential to revolutionize the way people transact and interact with digital assets.
In addition, Pantera Capital has identified a number of trends that it believes will shape the future of crypto over the coming year. These include the increased use of DeFi, the growth of the decentralized finance ecosystem, and the ongoing development of security protocols and blockchain technologies.
With the future of cryptocurrency looking promising, it is clear that Pantera Capital’s predictions are well-informed and based on sound reasoning. As the industry continues to evolve and develop, it is likely that these trends will become more prominent over the course of the next year. It will be interesting to see how the industry responds to the changes that are likely to occur over the course of 2023, and how these changes will affect the future of cryptocurrency.