Cyclical market downturns are a part of basic economic theory. Though we may not like their immediate impacts, we also know that bull markets have historically followed. Understanding this begs the question – what can we glean from the current crypto winter that will help us all build for the next bull cycle?
The 2023 report from Paxos, How the Crypto Winter May Help Save the Digital Asset Economy, attempts to answer this question using key market data points, perspectives from our leadership team and insights from cryptocurrency market data provider Kaiko.
The report details the crypto winter (and how it’s different from the one we all experienced in 2018), the risk and regulatory impact in the US, and most importantly, the opportunities that are already emerging from the bear market. Ranging from the future of stablecoins, to tokenization of real-world assets (RWAs), to increased developer interest in blockchain, and to continued investment from enterprises, the report showcases that although we are in the midst of a crypto winter, the market continues to invest in the real world benefits of blockchain technology.
The report also includes other key findings such as:
- The need for clear regulation and compliance standards;
- How the crypto winter provided clarity on what it means to be trustworthy;
- Proof of crypto’s resilience and more.
Download the report to access the full details on what we can learn from the events that led up to the crypto winter (and previous cycles) and ultimately, how we can use those insights to come out of this cycle ready to jump into the next bull market.
Disclaimer: Paxos is not an investment advisor and this is not investment advice.