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2023 Digital Asset Industry Outlook

Arca's industry experts provide their insights and outlook for the new year.

The crypto industry will see an uptick in businesses focused on the core tenets of blockchain: decentralization, transparency, and auditability.

Digital asset adoption will accelerate in areas with underdeveloped financial markets.

Utility with tangible value propositions will drive long-lasting adoption of digital assets.

Digital assets as an asset class will continue to decouple from traditional markets and remain uncorrelated for the foreseeable future.

Blockchain growth will be driven by the onboarding of Web2 and TradFi corporates.

TradFi will start to lose market share to DeFi.

TradFi companies will see more of their employees using professional development plans to learn about blockchain technology.

Universities with top business schools will offer the option for a concentration in blockchain technology.

Governments worldwide will continue to encourage mainstream blockchain adoption by funding and promoting education.

Web2 companies will continue to utilize NFTs to strengthen customer relationships.

An increased focus on transparency, immutability, and analysis will help DeFi gain market share.

The gaming industry will continue implementing Web3 tooling, providing players with enhanced ownership of in-game assets.

TradFi companies will focus on tokenizing traditional assets, especially in private markets.

TradFi internal working groups will evolve into product and development teams that partner with digital asset startups to build blockchain-based products.

A universally accepted institutional stablecoin will be developed and launched.

There will be a more overt distinction between investing in blockchain technology infrastructure, Web3, and cryptocurrencies.

While the market size shrinks during the “crypto winter,” we will continue to see traditional financial services companies announce plans to enter the blockchain ecosystem.

We will see increased regulatory clarity in the U.S., ultimately paving the way for increased corporate issuance, blockchain adoption, and capital allocation.

Interested in learning more about digital assets?

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