EXCAVO

10 Potential Trends 2023 by EXCAVO

Long
EXCAVO Updated   
BNC:BLX   Bitcoin Liquid Index
Potential trends and my thoughts on the future


-1. Increased Crypto Regulation

2. I'll start by explaining what L0, L1, L2, and L3 are:
L1 - Transactions
L2 - Closing problems of L1
L3 - Applications/Infrastructure for Applications
L0 - Cross-chain infrastructure

*L1 solution cannot be fast, scalable, and decentralized at the same time.

Protocols L1:
Ethereum (ETH)
Toncoin (TON)
Solana (SOL)
Near (NEAR)

New L1 Solutions:
Aptos
Sui
Canto
Fuel
Shardeum
Quai
Linera
Sei

Disadvantages of the New L1

ETH dominance
Past failures of "new" L1
Interest in LAYER L2 solutions

LAYER 2 - a protocol deployed on top of the main blockchain (Layer 1) is needed to increase the scalability of L2 - solutions are used for popular blockchain platforms with low bandwidth, such as Ethereum and Bitcoin

Pay attention to:

Arbitrum
Optimism
Polygon
zkSync
Fuel Labs

Advantages:

Ethereum is the most popular ecosystem
Developed infrastructure
Request for scaling
Disadvantages:

Risk of vulnerabilities
The problem of mass adoption
Key challenges:

Attraction of liquidity
Competition
Layer 0

Cosmos, Polkadot, Avalanche, Cardano

3. Exchange tokens also remain interesting for market participants; some exchanges leave while others remain and they see opportunities for customer growth and platform development. I would like to highlight several exchanges that are now actively working to become top exchanges:

Okex
Bitget
Wootrade

If I missed any exchange, please write in the comments

4. For potential trends, pay attention to the simplification of financial interactions, new types of fundraising, DeFi of the second and third generations, WEB3 is not yet used in a large part of the cryptocurrency market. Remember something that was very hyped in the past but has not yet been transferred to a decentralized plane, such as with ICO/IDO like IPO, as as well as NFTs like Bearbrick and KAWS. Look for a super idea or potential fierce hype.

5. DeFi will continue to develop, and from the future leaders, I think there will be projects such as:
dYDX
Lido
Uniswap
Maker
Curve

Advantages:

Request for decentralization
Ecosystem support
High profitability in terms of business
Disadvantages:

Regulatory risks from the US
Higher entry threshold than CEX
Hacking attacks
Key challenges:

Stimulation systems
Competition
6. At the end of last year, I began to look very closely at the Chat GPT platform, of course, it made me look at what is happening and the future of the world in a different way. And a few days ago, a list of crypto projects related to AI (AI) was published:
coinmarketcap.com/view/ai-big-data/
dropstab.com/categories/ai

Many began to write about the potential trend in this direction at the next Bull Run. And this is certainly the case. Any trend starts like this. But I want to note that there are already plenty of projects working with Big Data - DYOR

7. Proof of Physical Work consensus
I wrote in a previous post

8. Wallets

Due to the mass distrust of centralized exchanges, wallets will gain popularity in this cycle, this hype will be facilitated by the release of the metamask token.

As for me, I use several cold wallets and I really like mobile phone wallets such as C98, Safepal, and Trustwallet.

9. Social media
Decentralized social networks are a potential new boom:

DeSo, Nation, Farcaster, Lens Protocol, Braintrust , and so on are some examples to look out for.

Centralized social networks
Potentially, each social network (Twitter, Facebook, Instagram, Telegram) will have a direct sending of cryptocurrencies. It looks like this, stablecoin issuers are already working on implementation. This will be the next trigger and stage of adoption, which will mark the new BullRun of the cryptocurrency market, after which we will see a global restructuring of the TOP 50

The main IT giants are Apple and Google - they have been preparing to enter the cryptocurrency market for 2 years. They will be able to take the cryptocurrency industry to the next level, but I think it will not be in this cycle

10. AAA Blockchain Games
....will continue to be developed
I communicate very well with the project team, see for yourself how cool it is
www.youtube.com/watch?v=VHwQ7HnO...
I will say more, I have already played the beta version


It is also important to note that all investments come with some level of risk and even the most promising projects and trends can have unforeseeable challenges and obstacles. It is always important to conduct a thorough analysis of any investment opportunity and understand the level of risk involved before making a decision. Never invest more than you can afford to lose and always be mindful of the long-term potential of any investment.

As a final note, it is also important to keep in mind the importance of regulations and compliance in the financial markets. The crypto and blockchain space is still largely unregulated and many projects and trends may fall foul of legal and regulatory requirements. It is important to stay up-to-date with any changes in laws and regulations in the countries you are operating or investing in.

I hope this information has been helpful in providing some context and guidance when it comes to trends and developments in the financial markets, and a deeper understanding of the crypto and blockchain space. Remember, it is essential to conduct your own research and make your own decisions based on your financial goals and risk tolerance.

If I missed any trend write it in the comments

Best regards EXCAVO
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