the crypto industry bid farewell to 2020 with flying colors amidst the tumult of this unprecedented time in history the digital asset space seems to have proven its resilience we are coin telegraph the face of blockchain and cryptocurrencies our writers editors and stories are the pulse that drives the crypto narrative here's what we have to say about the future of crypto in 2021 i think that in 2021 i think there's a lot of a lot of other players so that's another narrative that i'm expecting to change it hasn't already watch this video tell us your own thoughts in the comments and don't forget to share and subscribe first what current crypto trends will continue in 2021 so i think this trend that we've seen in 2020 of the big institutionalization of cryptocurrency the involvement of major corporations such as paypal square microstrategy i think you're going to see more and broader adoption continue uh potentially on exponential pace of blockchain and cryptocurrency i think that we are in 2020 going into 2021 in the place that the internet maybe was in the late 80s early 90s where there was a community of people that were really passionate about tech uh networking et cetera that knew about this and we're working on it but the vast majority of regular people were not 100 sure what it was yet or how it worked or why it was important uh i think it's going to take maybe only one let's say one or two projects to really break into the mainstream prove that they can make money that they can uh shake the game up to get a lot of corporate fomo uh fear of missing out that is and i think that in 2021 i don't know if it'll be the year that changes everything but i think it'll be a year that further progresses the mainstreamization as i say of cryptocurrency so 2020 was a watershed year in the cryptocurrency market and for bitcoin in particular 2020 was the year where the digital gold narrative finally went mainstream and a lot of these major institutions started to realize the potential of bitcoin as a macro strategy as a macro hedge against inflation i know many of us have been following this narrative for many years we've seen the writing on the wall i know i've been personally monitoring institutional adoption for several years and i remember back in 2018 when backed launched and i was like this is it the institutions are coming they're here they're going to blow the roof off of bitcoin's price it didn't quite materialize that way back in 2018 but 2020 shocked me by the sheer magnitude by which major institutions and companies adopted bitcoin strategically i mean i can just go through a laundry list right you had paul tudor joe and stanley druckenmiller you have mass mutual you have rougher you have square you have paypal you have grayscale increasing their holdings micro strategy and then you got the major banks that have completely flipped the script on bitcoin jp morgan goldman sachs citibank blackrock have all flipped the script and turned positive on bitcoin and all of them are talking about bitcoin as a haven asset it really is startling for me as somebody's been in this space for a long time to see how quickly that narrative changed in 2020 and i expect that to continue to 2021 so the biggest theme for me into 2021 is the digital gold narrative more investors more companies major and smaller are going to realize that they're going to need an asset like bitcoin to hedge against inflation the monetary policy that we're seeing today we haven't seen before at the height of the 2008 2009 crisis we didn't see the types of monetary policy the extent that we're seeing today and all this is going to lead to significant devaluation of the us dollar as that happens you're going to see more s p 500 companies in my opinion adopt bitcoin so if you're going to ask me what i think is going to happen in 2020 or the major theme that i'm looking at regardless of sectors is going to be the adoption trend among the major among among the major companies in the s p 500 and elsewhere so for me in conjunction to that you're also going to see the continued rise of ethereum because a lot of these companies when they realize that you know paypal and grayscale are buying up all the all the newly mined bitcoin every day they're going to go to another asset and i think that could be it's going to be ethereum now the narrative around ethereum i also think is going to change or is changed heading into 2021 nobody really talks about the ethereum killer anymore right because that narrative doesn't really hold much water i expect that narrative to die if it hasn't already everyone now is talking about which protocols which smart contract platforms can coexist alongside ethereum because you know the market's going to explode it's going to be big there's going to be a lot of potential in this market you know what are some of the different protocols that can also eat away at ethereum's market share so you're talking about now protocols that are going to eat away at ethereum's market share as opposed to kill ethereum so that's another narrative that i'm expecting to change if it hasn't already as we head into the new year and beyond well here in brazil we had a year a good year for crypto in in blockchain markets we saw many initiatives from the government adopting blockchain on military offices for example and other solutions so this was very important i think brazilian government will improve its adoption on blockchain on crypto markets we saw some important initiatives also we had a partnership between them at the biggest exchange in brazil american beach coin in the in a traditional football club which is vasco da gama and they launched a token and i think we have we will have more tokenization of assets and securities in brazil also so far 2021 i also think that we will see a bitcoin etf more big tax and and big companies adopting bitcoin payments and also investing on bitcoin on the next year uh d5 i think d5 gained a lot of steam in 2020 and i think there's a lot of room to to go there bitcoins price up trend hopefully we haven't uh haven't topped yet institutions buying bitcoin is another one um i think there's a lot of a lot of other players that could get into the game a lot of money that could come in and regulation as well in terms of crypto on blockchain trends and regulations i think we're definitely going to see more major financial institutions adopting bitcoin as a reserve asset or at least investing in in some way i think there's uh with the incoming and biden administration we're definitely going to see some volatility just caused by differences in regulatory policy particularly with the sec and everything that's going on with ripple whether that's uh well xrp whether it's identified as a security hopefully we'll see fewer examples of these pump and ups uh pump and up schemes just by different projects and tokens fueled by social media and uh and crypto news outlets first of all they can always get the worst so you know kobe was terrible and i'm sure that a lot of you lost their loved ones or maybe you were fearful for their lives but it can always get worse so keep that in mind and the second thing is that to be on a more positive note is that you know it doesn't mean that uh these events don't mean that you know the world has to change or that there is a new normal that everything is different i think that you know d5 will definitely continue to exist and it will continue to develop and it's kind of one of the breakout trends of 2020 that i think is going to shape crypto discourse for a while obviously you know it's never quite as good as we hope so i think that it's there's going to be a little bit of stumbling at first because right now in 2020 we saw this whole this whole like speculation mania and a lot of issues with infrastructure as well you know gas fees it's basically impossible to use a d5 protocol for an average person right now because it's just so expensive and so we need to kind of solve these issues so i definitely wouldn't expect ethereum to be kind of the only blockchain for for genomes capability and smart contracts and stuff at the same time ethereum is also having its own solutions for scalability being deployed right now actually and in 2021 it's only going to get better so there's going to be a very interesting battle of which solution will win which was solution will have more users finally there are a few trends in crypto that are kind of smaller i think that for example options platforms you know derivatives are actually going to explode in 2021 we've seen a lot of growth of course but if you've ever actually used one of those it's not really great like uh for example the ask spread is huge liquidity is often small but they are kind of great for speculation in many ways so i think that um it's definitely gonna going to be one of those very high growth industries and within our campus sectors within the crypto world and i also believe that as we get into the scalability and stuff um stable coins are actually going to be very important so of course you have you know what we have today so uct udc and all that stuff as we get more scalability for payments and as we get maybe cbdc's as well uh finally being rolled out i expect that we may see a resurgence of cryptocurrency used for payments especially in the form of stable points you know i think that we're still kind of missing that app that for example uses cryptocurrency in the back end but the end user does not know that they are actually using crypto and i think the possibilities of using crypto on a scalable platform are kind of endless so i think that this is going to be quite interesting for the average user so to speak i see to change first the d5 favor with improvement of indonesian and increased market awareness of defy it is hope that in 2021 the popularity of defy will continue and more and more innovation will be derived second we will keep we need more and more traditional forces especially professional institutions during this market like great scales it is definitely the real star in this year many of the verticals that took off in 2020 will continue to experience explosive growth defy could sleepwalk for through the next 11 months and still likely hit 100 billion in total value locked and a quarter trillion is a real possibility likewise nfts will continue to seep into mainstream consciousness and at least one major video game title will launch with nft backed item functionality right out of the box even social tokens will likely continue to do well despite being utterly worthless garbage new trends that i'm excited about largely center on smart contracts taking over common real world financial agreements mortgages through ave parametric weather insurance and experiments and tokenizing assets with tools like nfts will gain significant traction however the development i'll be most excited about will be the ascendancy of daos we've seen the world start to wake up to the power of decentralized ledgers and decentralized smart contract platforms and the next step is widespread understanding and appreciation for decentralized autonomous organizations many of the founders and core contributors working in taos that i've talked to believe them to be the future of how human organizations compose and advance themselves in 2021 daos will out-compete their centralized counterparts in a variety of fields and the wider community will increasingly demand decentralization at the governance layer as they currently do at the protocol layer if 2020 was the year of defy 2021 will be the year of the tao 2020 has shown us that decentralization can not only be the technological vision of the future but also social and economic reality and necessity what trends do you not expect to continue so while i think that decentralized finance is here to stay i think that it's going to i think that the wild wild west days of defy may perhaps be dwindling slowly i think the days of simply yield farming for the sake of yield farming with no real purpose other than generating more yield um maybe on its way out i think that for d5 to grow even larger i think that it's going to become more standardized i think that you're going to start to see insurance providers you're going to start to see mainstream financial entities playing around with d5 i think you're already starting to see some d5 platforms that have popped up that are now backed by big money by uh more significant players in uh in the financing world and perhaps even in mainstream finance so d5 will continue but i think it's going to look just a little bit different hopefully the trend of bitcoin going uh back below ten thousand there's kind of a running joke on twitter about every time bitcoin would go below ten thousand when it was around that mark people would say oh this is the last time you can buy bitcoin below ten thousand and kind of a running joke so please not joke anymore hopefully the hopefully it doesn't go below 10 anymore uh i think that institutional adoption so you know bitcoin being traded by wall street trading file hedge funds essentially i think that it's going to hit a snag because right now i feel like the adoption that we are finally seeing coming actually it's going to go away together with the kind of risk-on environment we're seeing today in all markets essentially which means that you know stock markets are at an all-time high tesla is in clearly in a bubble i mean it's just valued way too high for it to make any reasonable sense and eventually this is going to stop and when that does i think wall street is actually going to lay off crypto for a bit because they can definitely be useful at certain aspects but they're not useful on permissioned blockchains that you have to trust not to be corrupt because that in that way we're at square one essentially so yeah i don't think that's going to contain 201 or in any case i would say like the sale of image this year during a period with a pandemic going on crazy and the clubs offer a micro environment cryptocurrency were not spread in 2021 we are watching and also believing that the word will return to the normal state and the panic cell of like the last one will not be repeated what trends will we see in 2021 that we didn't see in 2020 one of the first things i can i can think is about bitcoin mining in brazil we don't have a big market yet here but i think in the next year we will see the government uh taking action and bringing uh companies to to to mine bitcoin brazil i think this will be a trend for the next year and the other thing is that i can see the stock market more open for the crypto markets in the next year so i hope that this market uh will have more products of investments here in national products to invest in in crypto currencies like bitcoin nether or or repo so in 2020 d5 um was pretty complicated with all the yield farming and the meme coins and all the ways you can make profit so i think we might see that uh simplified a little bit i think some critical piece of technology some new take on projects some new blockchain is going to arise that just completely revolutionizes the space as big of a claim as that is like they said the same thing about ethereum and look where that is now so hopefully all this will will make a good bullish news for crypto in the coming year you know the things they say about facebook's libra or diem that you know currency is the domain of governments well all those things they say about facebook's project it applies just as well to crypto and the thing is that so far i mean facebook is definitely much stronger than the crypto moon as a whole so that's kind of why they've been focused on libra but i think that we're going to face this kind of challenge period where they will try to diminish or to kind of take control of the crypto ecosystem in some way it's kind of like we've been flying below the radar for the most part so far but they think that the elites the government officials they're not really going to appreciate that appreciate it that much not saying that it will necessarily be sector breaking but at the same time i feel like we're going to have to stent through this test and we'll see where that leads us over time we'll see more and more of these solutions some of them exist already but i think that digital identities are going to be a big thing in the future maybe not exactly in 2021 but it's definitely going to be a kind of a growing and growing adoption layer maybe bitcoin go over 100 dollars yeah what lessons have you learned this year 2020 was a year of hard lessons for example i learned this year that working from home and being have to work from home are two very different things but now we are looking at new hopeful promising numbers 20 21. so what i learned is that i love working for a decentralized company i love the flexibility of being able to work wherever i want i love working with people from all around the world but what i learned is that it's not quite as fun during a pandemic when the entire city is shut down i don't enjoy not having a real way to separate my professional and personal lives because my professional life is taking place in the same place as my personal life because i can't go anywhere else to work because everything's shut down that part i'm not a huge fan of chaos is a ladder that's the truth this year whether it is a crypto market the micro environment or us individual our experienced many ups and downs but as we come to the end of 2020 in retrospect you know we'll find that there are always opportunities being side with crisis so before we add 2021 i really want to say that in the face of unknown coins we need to keep a optimistic attitude and rational thinking thanks for watching if you enjoyed the video don't forget to like and subscribe stay with us cointelegraph like 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2021-01-30