The report shows: Bitcoin, Ethereum, and DeFi will be the three main lines of this bull market cycle
The 2021 encryption report released by Messari Cryptocurrency Research Company provides a detailed analysis of key industry trends, people, companies, and projects, and makes predictions for the encryption industry in 2021. The content is summarized as follows:
01
Bitcoin, Ethereum, and DeFi will be the three main lines of the bull market cycle.
Compared with 2017, there is a real basic driving force behind these assets. The report predicts that Bitcoin will reach $100,000 next year. In the next cycle, cryptocurrencies will reach a market value of $3 trillion.
02
Invest in Bitcoin.
This is the advice given by Paul Tudor Jones, Stanley Druckenmiller, Cathie Wood, Bill Miller, Raoul Pal, Chamath and many other institutional investors.
03
Invest in Ethereum.
Ethereum is the all market + settlement layer of the new decentralized financial system. In 2020, on-chain transactions processed by Ethereum are as high as $1 trillion. So far, the upgrade of the beacon chain is progressing smoothly. Ethereum will continue to shine.
04
The rise of DeFi “financial Lego blocks”.
The DeFi track will bring high returns to investors. DeFi’s blue chips are as follows:
UNI (DEX)
NXM (Insurance)
AAVE/COMP/MKR (loan)
SNX (synthetic assets)
YFI (Asset Management)
05
Stable coins are eating the whole world.
USDT makes the cryptocurrency world work, but USDC and PAX bring more regulated legitimacy to the crypto market, and DAI provides a completely decentralized alternative.
The market value of stablecoins at the end of 2019: $4.5 billion.
The market value of stablecoins at the end of 2020: about 30 billion US dollars.
The market value of stablecoins at the end of 2021: It is expected to reach approximately US$75 billion.
The blockchain is dollarizing: BTC/ETH is no longer the main reserve asset for exchange settlement, trading pairs or DeFi. More stablecoins = more capital inflow; less stablecoins = more BTC/ETH reserves. No matter what the situation is, it is a win-win situation.
06
Crypto credit market.
Credit to crypto assets is a bullish phenomenon that has never occurred in previous cycles. The crypto credit market can enhance the HODL trend. Encrypted asset mortgage lending helps preserve the growth revenue of encrypted assets. Redeploy funds to infrastructure and more cryptocurrency projects.
07
Synthetic assets.
Any tool that makes it easier for outside funds to use cryptocurrencies is a bullish sign. Grayscale ETF; cross-chain derivative assets; tokenized securities (platform currency + stocks) will drive more incremental funds into the market.
08
infrastructure.
Centralized exchanges will continue to maintain their dominant position and seek to offset the following changes through further growth: the reduction of spreads; the strong competition of DEX against retail investors; the reduction of assets hosted in exchange wallets.
09
Web3+NFT.
Filecoin is a behemoth of decentralized storage. Social tokens will become powerful. Flow (Dapper Labs) is a leading competitor in the NFT meta market. NFT is exploding.
10
The most noteworthy figure in the crypto industry.
①SBF Alameda (CEO of FTX Exchange):
Leading FTX into the top 10 exchanges within 18 months.
Top DeFi players.
Acquired Blockfolio for USD 150 million.
A leader in synthetic asset trading.
The promoter of Biden’s election as president (donating US$5 million to the Biden campaign team) is conducive to the development of the crypto industry.
②Michael Salor (Mircrostrategy CEO):
Salor will hold more bitcoins on the balance sheet (MSTR) of its listed company. He can be said to be the Bitcoin propaganda ambassador in the organization, but he seems to be too obsessed with hoarding Bitcoin. He might also consider buying Ethereum eventually.
③Barry Sibert (Grayscale CEO):
As of December 15, Grayscale BTC Trust’s holdings have reached 565,026.71 BTC, one of the largest sources of buying in the crypto market, known as the currency circle brave, only in and out.
④Brian Brooks (head of the U.S. Office of the Comptroller of the Currency, former chief legal officer of Coinbase)
One of the biggest developments in the currency circle this year is that Bitcoin has finally “someone” in Washington. Brooks enables banks to safely custody crypto assets and bank stablecoin issuers.
⑤Andre Cronje (founder of Yearn.finance)
Cryptocurrency is eating the whole world, and AC’s YFI is eating cryptocurrency. The crazy speed of YFI’s development is surprising, and it also shows the huge energy of financial Lego bricks.
⑥Hayden Adams (founder of Uniswap) & Leshner (founder of Compound)
These two “modest farmers” pushed liquidity mining to the mainstream: rewarding early contributors; improving the liquidity of DeFi; and achieving decentralized governance through decentralized protocols.
⑦Danny Ryan (Developer of Ethereum 2.0)
God V is a visionary philosopher, but Danny Ryan has done unprecedented things for Ethereum. He is the spokesperson of ETH 2.0 and the most noteworthy developer after the new milestone.
