What Are the Key Events and Takeaways of This Crypto Winter?

What Are the Key Events and Takeaways of This Crypto Winter

This is just the beginning of crypto winter.

What do I think about this crypto winter? I look at key businesses, the players and movements, and see whether it changes or not in this season. The cycles we have witnessed in the past two years in the Web3 space are the same as when Web2 was at this stage over 20 years ago. Spring cleaning has started and will continue in various forms.

Look at these few movements in June alone, and you can get a glimpse of what is to come. For one thing, crypto winter is not stopping traditional companies from springing toward Web3 business models. Some cases are below:

1. In mid-June, Bitcoin (BTC) has fallen as low as US$17,000 USD per coin, bringing Bitcoin back to the January 2018 price point (around US$ 17,527). The highest Bitcoin ever got to was US$68,000 in November 2021. Today (June 24, 2022), BTC is hovering around US$20,297. So far, there is no news about any companies that will stop accepting Bitcoin, which would be an important and influential action. 

2. The demise of Luna and Celsius due to “illegal activities” behind the corporate doors has caused massive withdrawals not only in terms of crypto but also in investments into the space. 

3. The freezing of withdrawals, dropping of new hires and letting go of staff in crypto companies, like Coinbase, Crypto.com and Gemini, have made this winter even colder. Many believe this is just the beginning, and the “snow” will fall even harder as we go through summer to fall.

In my belief, this is the “experimenting and discovery” stage where “fluffs” and “blind trend followers” or “money grabbers” without the grounds of real technology or business values or impact on our world will die out. 

Despite these frightening events, big household names are not stopping their moving into the Web3 business space.

1. On June 9, 2022, Mastercard extended its payment gateway to a few Web3 companies, allowing their customers to buy NFTs without buying cryptocurrency at all. This will be effective with Immutable X, Candy Digital, The Sandbox, Mintable, Spring, Nifty Gateway and Web3 infrastructure provider MoonPay. Imagine allowing 2.9 billion cardholders a quick and easy swipe into the web3.

2. On June 20, 2022, Shell, Accenture & Amex GT launched the first blockchain platform to track ‘sustainable aviation fuel’ (SAF) between companies and airlines after delivery to ensure there is no double-counting. Decentralized counting in motions.

3. On June 21, 2022, MoonPay launched a minting platform called HyperMint with three major entertainment brands – Universal Pictures, Fox Entertainment and Snoop Dogg’s Death Row Records. This will allow legacy brands to ensure intellectual properties that are stored away in closets by minting them into NFTs. The platform claims that it can mint hundreds of millions of NFTs a day. The question is, will there be that many mint-worthy NFTs after this winter?

These activities revealed at least three key takeaways for me:

1. It shows that these companies have planned their entry way before the crypto winter, and some have sustainable value into the future and some may not.

2. Regardless of the blizzards ahead, they still believe in what the Web3 technology can do for their business and the world.

3. Their business models that were kicked off months or even one or two years ago were based on the value and understanding of NFTs and blockchain at that time. Things have changed, and the market has become more educated. Will they pivot fast enough to make their investment count?

What I know for sure, this winter will teach us all how to be better prepared for the next one!

Also read:

Header Image Courtesy of Flickr

SHARE THIS STORY

Share on facebook
Share on twitter
Share on linkedin
Share on email

RELATED POSTS

Samsung Galaxy AI Expands Language Support to Reach More Global Users

In a recent announcement, Samsung introduced plans to significantly expand the language options available for its Galaxy AI, enhancing accessibility for users worldwide. This expansion includes the addition of three new languages—Arabic, Indonesian and Russian—and three new dialects—Australian English, Cantonese and Canadian French, building on the existing 13 languages currently supported.

HK PolyU Employs GeoAI to Advance Urban Development 

The Hong Kong Polytechnic University (PolyU) is leveraging geospatial artificial intelligence (GeoAI) to tackle a range of environmental and social challenges worldwide. Through its innovative application in various sectors such as transportation, urban safety, and climate change, PolyU aims to lead in transforming how societies manage and adapt to these issues.

Step Into Tomorrow: Explore the Wonders of InnoEX 2024 in Hong Kong

In the bustling city of Hong Kong, where over seven million people reside, the call for smarter, more livable cities is louder than ever. This April, the Hong Kong Trade Development Council (HKTDC) steps up to answer that call with the InnoEX and the landmark 20th edition of the HKTDC Hong Kong Electronics Fair (Spring Edition) (EFSE). Backed by the visionary efforts of the HKSAR Government Innovation, Technology and Industry Bureau and the HKTDC, these tech expos are set to feature the latest and greatest innovation from over 3000 exhibitors from more than 20 nations and regions. 

Cloud Software Group and Microsoft Forge Strategic Cloud and AI Partnership

Cloud Software Group Inc. and Microsoft Corp. have announced an expansion of their long-standing collaboration through an eight-year strategic partnership. This partnership aims to strengthen the go-to-market collaboration for the Citrix virtual application and desktop platform and facilitate the development of new cloud and AI solutions. As part of the agreement, Cloud Software Group will commit US$1.65 billion to Microsoft’s cloud services and generative AI capabilities.