The digital crypto assets end another year overcoming a lot of mistrust in relation to large companies in the sector that have starred in scandals of global proportions, but the performance of cryptocurrencies and tokenization have consolidated their presence in the markets.

Once seen as fads – especially in the case of NFTs – or a form of investment without the regulatory protection of governments, digital assets are a growing reality in people’s lives.

Cryptocurrencies are already “teenagers” on the market and more and more people can answer what token is. But both experienced first experiences in 2022 – reconstruction after a pandemic, global economic crisis and a war.

The lack of regulation or pegging to monetary policies could leave them vulnerable, but the balance was satisfactory, especially for tokens that have strengthened as a business model.

BLOCKBR, a web 3.0 native company, brings the positive and the challenging that emerged in 2002 for digital assets!

POPULARIZATION AND FALL OF THE METAVERSE

The year 2021 was the year of greatest growth in popularity for the metaverse. Virtual land – the basis of metaverse monetization – reached a transaction volume of $8 million on average in 2021.

They were seen as an excellent investment product, with a much smaller supply than the growing demand. Today this turnover does not reach $200,000. Further segmentation of players, beyond the big companies, has not occurred.

What is happening then with the promising metaverse?

Experts point to some causes.

• There is not the scarcity of metaverse land, which explains the sharp drop in prices and the reduced rush for them;
• The technology of visual graphics is lagging behind, causing rapid disinterest when you have the technological basis in your devices for a better experience;
• The direct association with NFT, pasting a fad image in the metaverse.

These are some of the factors that hinder the sustained growth of the platform, and especially the idea that these universes are really important in market strategies – in the end that is what is really expected.

The trend is a reinvention of the metaverse, bringing expectations into the real world and less of the speculative metaverse – starting with more realistic item values.

REAL DIGITAL

BACEN is developing, since 2020, the project of the digital real – the Brazilian digital currency or CDBC (central bank digital currency ). The idea is to bring the innovative technology of cryptocurrencies into the everyday life of Brazilians and to reduce, over time, the issuance of paper money.

With the digital real, BACEN also intends to reach an audience that sees digital currencies as a means of payment with numerous advantages, but does not feel secure with their decentralized operation.

It is important to note that digital real and cryptocurrencies are not the same thing.

• Cryptocurrencies are decentralized – there is no one power that controls the issue – they belong to user networks (blockchain) and are treated as financial assets – subject to CVM regulation in the future;
• The digital real will be issued only by BACEN, with digital money paper for daily operations and custody, and market distribution on behalf of the banks.

The project made great progress in 2022, is to be fully tested and completed in 2023, and there are plans to launch the digital real in 2024.

TOKENIZATION GROWTH

Tokenization – the representation of assets by means of tokens to be offered in the market – has been growing steadily in recent years and the trend is set to continue.

A study by US market consultancy Grand Review Research indicates that the tokenization market will grow 24% annually by 2030.

This positive scenario is due to the way societies, companies, and governments are understanding the process of tokenizing assets – it is no longer something associated with cryptocurrencies, which have a high degree of speculation and a lot of mistrust.

Business tokens, in turn, are highly effective offering vehicles and can be used in all business plans: financial assets, tangible goods, new business projects, and even specialized services and relationship programs.

Besides such a wide range of possibilities, the token is democratic: it can be fractionalized in such a way that small investors can buy tokens with low down payments.

This opens up opportunities for all businesses and raises people’s investment standards.

The tokenization, far from the fear of being overlooked by conservative market strategies, has shown that it is the alternative for calm moments and also for those that require transformations in the way of doing business.

BITCOIN CRASH

The cryptocurrency market, especially bitcoin, is in for a bad time in 2022, especially with interest rates rising in the U.S. and an ongoing war. BTC recorded a 30% drop in one week of June.

US interest rate increases affect assets and risk – class where cryptocurrencies are. The record inflation scenario further fuels this scenario as the FED seeks to contain it.

But the larger reason may lie within the cryptosystem.

Financial scandals in the crypto world – Luna in May, Celsius in June, and FTX in November – have further increased caution (and distrust) in the investor market.

Bitcoin has experienced many cycles, however the fundamentals of the macroeconomy in the US and around the world are warning signs that the new BTC crisis may be longer than expected.

The trend is for more people and companies to invest in market tokens, as they are tied to businesses that have their own financial health and a strategic reaction to economic crises.

REGULATION OF CRYPTOCURRENCIES

In Brazil, the regulation of cryptocurrencies will be a way to strengthen the market as a whole and give more security to crypto investors. The law has already been approved by the House of Representatives and has been sent for presidential sanction.

The crypto market will gain more quality with the supervision of current exchanges and the stricter entry of new companies. The typification of crime with digital currencies increases security for those who want to invest, but in a visible and legally recognized scenario.

The trend is that this historical fact will also benefit the tokenization market, as the vast majority of companies operate with both types of digital assets.

In addition, the CVM’s new regulations for tokens are clear signs of the market potential that is emerging in the coming years – and underpinned by the solid foundation that is business and asset backing.

INVEST IN TOKENS WITH THE BLOCKCHAIN PARTNERSHIP

Whether to offer tokenized assets and raise funds or to invest in tokenization projects and make money work for you, BLOCKBR has all the necessary know-how for your success.

From best practices for developing tokenization projects, focused on the best cost-benefit ratio, to a secure token marketplace, simple to use and with attractive and safe offers.

You can participate in great token projects starting at 50 reais!

Come and get to know our work!

BLOCKBR Digital Assets is a web 3.0 native fintech that unites technological innovation and digital knowledge to transform physical assets into digital assets, in the process of tokenizing assets.

The supply of physical assets and tokenized financial assets, both current and new, is democratic and decentralized, which makes the way of investing safe, simpler and more efficient.

We enable, structure, issue and offer tokens on our platform and beyond. Be aware that tokens depend on feasibility and regulatory factors.

Do you want to tokenize your business or part of it? Do you have a business solution and does it make sense to issue your own token ?