Original post:
https://mobile.twitter.com/eliasimos/status/1475396819270369281
TLDR:
- Metaverse and smart contract chains were the best performing crypto assets in 2021.
- The correlation between coin performance has weakened.
- Volatility is also decreasing (China was main cause)
- DeFi's popularity has surged. ETH's market share has shrunk. Also as a result of increasing gas prices. To meet user demand, EVM compliant environments stepped in and became the standard.
- Layer 2's lag in activity still
- 2021 ETH staked on the newly launched Beacon Chain grew 8-fold to over 8M ETH, in expectation of the transition to PoS.
- PoS will soon become the de facto standard.
- Web3 is becoming popular. However, it is still connected with cryptocurrency.
- People prefer meme currencies, and almost no one considers fully diluted valuation.
- Metamask's user base has been multiplied by ten times in terms of MAUs.
DeFi
- Number of DeFi hacks increased in 2021
- WBTC on Ethereum continues to dominate the market for wrapped Bitcoin, which is mostly utilized for yield rather than transactions.
- DEXs and industry leader Uniswap are still alive and well. Uniswap v3 is inventive, yet it is still primarily utilized by whales.
- Significant rise in stablecoins. Algorithms are becoming more mature–but have yet to be tested in a bear.
- Lending protocols are lagging in terms of growth.
- Finally, you can't look at DeFi in 2021 without noticing the continued rise of Curve and Convex. These are the two protocols paving the way for "useful" governance tokens.
NFTs
- In 2021, the revenue from sold NFTs skyrocketed.
- NFT marketplaces are sprouting up on several chains.
- The average price of NFTs changing hands increased from less than 0.1 ETH to almost 15 ETH.
- 2021 also popularized the concepts of play to earn (p2E) and GameFi.
- Funding for cryptocurrency initiatives has hit new highs.
