Top 10 predictions for web3 and crypto-economy for 2023

4 min readJan 31, 2023

Where will web3 technology take us in the next few years? With attention-grabbing headlines declaring that “crypto is here to stay”, it’s no secret that cryptocurrencies are becoming much more mainstream — but where do they go from here? This post will dive into some top predictions for how our crypto economy might look in 2023.

A Challenging Year for Tourist Investors but a Promising one for Agile Builders

2023 is expected to be a mixed bag for those in the crypto and web3 world. On the one hand, tourist investors may face challenges as the market could be bearish for their investments. On the other hand, it is predicted to be a fantastic year for agile builders. The emphasis on decentralized protocols and projects could lead to increased innovation and growth opportunities in the web3 space.

The Year of Transition from Pseudo-Web3 to Decentralized Projects and Thoughtful Protocols

The focus is shifting away from pseudo-web3 companies to truly decentralized projects and protocols that have been thoughtfully designed. This change represents a significant shift in the industry as more attention is paid to the underlying technology and its potential for delivering secure, trustless, and decentralized solutions.

Widespread Cryptocurrency Adoption

An increasing number of people are beginning to add cryptocurrencies to their portfolios. Whether they are cautiously taking a small step into the world of cryptocurrencies or making more serious investments. And as adoption becomes more widespread, the demand for cryptocurrencies could increase significantly.

Ethereum co-founder Vitalik Buterin expressed confidence that in 2023, cryptocurrency wallet infrastructure will be improved to a point where it can become accessible, secure, and capable of onboarding billions of people.

In this light, NeoFi is making great strides toward the mass adoption of cryptocurrencies by introducing various new tools and services for fledgling investors. NeoFi’s automated solution is designed to help every scale investor diversify their investment portfolio and risks. Thus users can invest in their preferred niche with a single click. This innovation has the potential to open up the cryptocurrency market to even more retail investors, revolutionizing the way people invest and giving everyone a chance to participate in what could be bigger opportunities than ever before.

Web3 gets fashionable

The fashion and web3 landscapes have taken huge strides in the past 12 months, with Nike x RTFKT and Tiffany’s Cryptopunks leading the way. As we look ahead to 2023, this trend will only continue as more explorations into blurring physical and digital space — dubbed ‘phygital’ — come to life.

NFTs and Metaverse to hold their ground

With low VC-funded investment likely, the NFT and metaverse segment can expect a market led by the old-time heavyweights. The use cases will branch out into real-world applications such as tokenized certificates, diplomas, permissions, and even validation labels, with badges becoming more popular. What’s more, NFTs and metaverses will continue to mature at a steady pace — the goal is innovation over imitation.

Gaming and DAOs will grow

Industry experts are starting to recognize the potential of DAOs, decentralized autonomous organizations, to end the so-called cryptocurrency winter. DAOs promise a new way of managing resources through peer-to-peer platforms with their own economy and monetary incentives that could open the door for traditional companies to adopt Web3 technologies. Meanwhile, gaming will also be a powerful driver in accelerating the mass adoption of cryptocurrencies. It enables users within digitally connected communities to use cryptocurrencies for real services and activities.

The Emergence of Disaggregated Big Exchanges

We are entering a new era for exchange stack. As exchange/price discovery, custody, and brokerage get disaggregated, it is starting to resemble traditional finance models. This brings many advantages to the exchange space. Since different tasks can be split up among specialized players, we will likely see increased transparency, reduced costs, and improved security.

Web3 Regulations: A Potential Boon

The regulations aim to standardize the technology and ensure a secure user environment, which will be crucial for the industry’s growth. Moreover, these regulations are expected to enhance the credibility of Web3 technology, thereby encouraging more investors and institutions to enter the space. With these regulations in place, the potential for Web3 to revolutionize finance, commerce, and more has never been greater.

The Rise of AI-Web3 Intersection Use Cases

In 2023, AI and Web3 will finally intertwine in ways that will challenge our current ideas about technology. For example, AI can be used to optimize various activities within the supply chain. At the same time, smart contracts will be self-executing agreements formed with transactional parties. AI could even be used for biometric recognition and then secure this data on a blockchain for transparency.

VC Investments: A Dual Focus on Mega Deals and Value Deals

In 2023, VCs will focus on two distinct types of investments: mega deals and value deals. Mega deals mean VCs will direct their efforts toward “consensus-supercycle” companies, which have tremendous potential for growth and success. On the other hand, VCs can look for more “value deals” in later-stage companies that offer a lower risk of failure but perhaps a lower return on investment.

Thus, the future looks bright for crypto in 2023. With the right strategy, 2023 could be a pivotal year for Web3 and the crypto economy.

What, according to you, would be the poster boy of web3 in 2023?

Disclaimer: The views expressed in the article are for educational purposes only and should not be construed as financial advice.