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Developers Expect Cryptocurrency To Explode In The Next Two Years

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Developers tend not to be an overly optimistic bunch. Their life is mired in bugs and setbacks. That said, there were a number who spoke up laying out their views over the next couple years.

The Ethereal Virtual Conference took place this week and many were able to sound off about where they think things are going.

Mostly covering DeFi and gaming, the developers offered an optimistic perspective about what is being created.

The existing financial structure is not up to task. This is becoming obvious. One of the aspects that is overlooked about DeFi is that it is not tying into the present system. Therefore, everything is having to be developed from scratch. This is what will take some time.

It is agreed this is all a process. we are not going to instantly wake up one and see us go from centralization to decentralization. This is a paradigm shift that was started a number of years ago.

The challenge in the finance world is that most of the early companies spent most of their time trying to connect to the existing system. One lending platform found mention this about his time at Coinbase.

“I would estimate about 75% of the company’s effort goes to dealing with the traditional payment side. A very small proportion is actually integrating with the crypto side... It’s much easier to build these new financial products in DeFi,” he told the panel.

Another expressed how the present banking system simply did not offer what was need. After 5 years of trying to make it work, he found DeFi.

Indian neo bank NUO co-founder Varun Deshpande had been working for over five years to integrate with financial institutions before discovering DeFi. “The problem was, banks didn’t have APIs for us to create something on top of, and that’s how we discovered DeFi,” he said.

https://decrypt.co/28142/defi-on-the-path-to-disrupt-traditional-finance

Gaming gets even more exciting. It is now operating under the "play-to-earn" model. Gamers are now able to not only be rewarded during the games, the assets acquired are theirs to keep. With individual wallets, the asset has a clear line of ownership.

People are able to enter the games with ownership as a default. This is a marked difference from the present gaming industry.

Some companies are even subsidizing their games by continuing to offer tokens to help expand the user base. This is a sound practice that could pay nice rewards as popularity of gaming grows.

When asked his thoughts on the future, Jeffrey Zirlin of Axie Infinity had this to say.

Even given the current growth rate, there are no silver bullets,” said Zirlin. “The space is growing at a very healthy rate, and I think people will be surprised at how that compound growth over the next 24 months shows itself.” He added that he believes that it will eventually seem like a “chemical reaction,” or explosive growth.

https://decrypt.co/28146/play-to-earn-crypto-games-set-rapid-growth-ethereum-devs

We all know that Splinterlands is one of the most popular DApps out there. Being in the digital realm, it is easy to see how an entire ecosystem is being built around it. Players have both assets and a stream of revenue through their participation. This could ultimately lead to other additions being built outside the game itself.

Essentially, we are looking at people having the ability to own a business. Looking at it another way, anyone who is accumulating cards owns a virtual trading card shop. Of course, the barrier to entry is much lower than one that deal in physical cards. This will likely be the key for billions who end up participating in any type of reward system.

It is easy to get caught up in price movements and what is taking place with the markets. It is the developers, however, who are providing a glimpse into the future. Many what to know where cryptocurrency is going in the future. These are the people who are developing the projects that will make that determination.

As the industry grows, the ability to reach out is expanded. When we break things down to its core, it all comes down to utility. Amazon is one of the most valuable companies in the world because of the number of people who use it. The same goes for Facebook and Google. These companies have incredible customer/user bases.

The goal of the cryptocurrency industry is to attract the people by developing what they need. Having the infrastructure required to replace the existing system is going to take some time. Nevertheless, there is no reason why all financial services that are presently offered could not be done with crypto. This puts people who are already involved in a very strong position as more is developed.

We saw the impact the Internet had on the world. It changed almost every facet of business, communication, and entertainment. The people who were developing it probably had an idea about what was going to take place. Of course, anyone from the outside who was watching probably did not see what was taking place.

My sense is we are seeing a repeat. Those who would have said that nobody will want to operate in the "virtual" world are the same types as saying similar things about cryptocurrency. Nobody is going to use that money that has no inherent value.

That is the interesting part about technology. The cycle tends to repeat itself with each new wave of major technological advancement.

Those that see it coming are able to benefit greatly.


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