Nansen CEO's Perspective: Which Cryptocurrency Sectors Are Worth Watching in the Next Market Cycle?
The CEO of the on-chain data platform Nansen, Alex Svanevik, recently shared his thoughts on the future development of the cryptocurrency industry on the precursor to X Twitter, highlighting 6 areas that may play important roles in the next market cycle.
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Been asked about crypto going forward.
Below are 6 themes I think will play a role in the next cycle.
🧵
— Alex Svanevik 🐧 (@ASvanevik) October 6, 2023
Table of Contents
Nansen CEO: Key Areas to Play Important Roles in the Next Market Cycle
1. Fintech Frontend + Crypto Backend
Alex suggests integrating Fintech platforms with crypto systems, similar to how PayPal introduced the stablecoin PYUSD and digital bank Revolut launched collateral services.
Additionally, Alex believes that Web3 startup BasedApp is already similar to a Fintech product, and in the long term, crypto systems will replace the backend of existing Fintech industries.
2. Gambling and Betting
Alex believes that with DeFi ecosystems serving as the backend for the gambling industry, platform development will become more rational. Platforms will no longer profit from spreads on bets but from capital gains.
As Layer 2 and account abstraction technologies continue to develop, more users will be able to access these platforms.
Alex mentioned three cases, including YOLO from LooksRare, Rollbit, and PoolTogether.
3. RWA - Real World Assets, Especially Treasury Bonds
Alex believes that RWA protocols such as Superstate, Mountain Protocol, and OpenEden will emerge next year, and tokenizing treasury bonds will have a significant impact on stablecoin supply.
In response to this trend, Alex speculates that Circle and Tether may likely venture into this area.
4. Web3 Games
Although the topic of Web3 games has been discussed in the crypto industry, Alex believes that within the next 6 months, games developed for over 2 years will be launched.
While most of these games may fail, a few will achieve tremendous success.
Alex recommends games like the shooting game SIPHER Odyssey, the racing game MixMob, and the well-known Axie Infinity.
5. SocialFi
Alex believes that real use cases for friend.tech can be found from on-chain data. Similarly, as L2 and account abstraction technologies mature, more users will engage in this field.
However, Alex feels that SocialFi platforms will need several iterations and forks before they can mature.
6. NFTs Combined with Physical Assets
Alex mentioned the recent community attention on Pudgy Penguins due to their listing on Walmart, considering it as a model for physical NFTs.
Alex believes that companies like IYK that combine NFTs with physical goods will bring more experiences to other projects.
Related Reading: Pudgy Penguins Expands Toy Business! Listed in 2,000 Walmart Stores Across the U.S., Price Surpasses 5ETH