Ripple believes the black swan events of 2022 will make the industry stronger.
After a tumultuous 2022 for the entire crypto industry, mainly due to worrying macroeconomic conditions and crypto company blowouts, Ripple has released an optimistic outlook for 2023.
The blockchain payments company shared its predictions for 2023 in a tweet yesterday. Notably, the post was originally published on January 10.
What does 2023 have in store for #CBDCs, #NFTs, #crypto and beyond?🔮
👉 A focus on real-world applications
👉 Global CBDC pilot programs
👉 NFTs that solve for efficiency & transparency in ownership
Read all of our #crypto predictions for the year ahead.https://t.co/KscpPINuCj
— Ripple (@Ripple) January 31, 2023
In the blog, Ripple executives expressed optimism for the industry, likening 2022 to a necessary refinement process, producing a more robust industry focused on real-world utility.
Firstly, Ripple executives predict we will see more central bank digital currency pilot programs in 2023, focusing on interoperability for cross-border payments. This is according to James Wallis, VP of Central Bank Engagements. Notably, executives believe that the shift towards utility would catalyze this rise in CBDC development.
At the same time, Ripple’s chief technology officer David Schwartz predicts that NFTs will not be left out. According to Schwartz, while NFTs gained notoriety through digital collectibles, they will gain staying power through applications in carbon and real estate markets.
Meanwhile, Ripple believes that institutions will double down on investments in the nascent market instead of pulling out of the industry in the wake of 2022’s woes, but with a focus on long-term benefits, according to Sendi Young, Managing Director of Europe. Per the blog post, institutions are readily developing crypto strategies void of previously held skepticism. Ripple SVP and Managing Director of APAC Brooks Entwistle, expressed that he expected concerns around liquidity to further expose those riding the hype train. It implies that more crypto firms may still collapse this year.
Executives also predict greater incorporation of crypto for social causes and in pursuit of sustainability goals. Additionally, they say more universities will offer education in crypto and blockchain technology. According to Ripple’s SVP of Strategic Initiatives, Eric Van Miltenburg, at least half of global universities will offer crypto and blockchain education to meet the rising job market demand for talent. In addition, executives say a customer-oriented focus will lead to the development of better on/off-ramps and greater adoption.
Furthermore, executives are hopeful that the nascent market will gain more regulatory clarity globally, with the outcome of the US Securities and Exchange Commission Case against Ripple playing a pivotal role in the US. Ripple general counsel Stuart Alderoty revealed that he expects a ruling in favor of Ripple in the year’s first half.
“We’ve fought this case on behalf of the entire crypto industry and American innovation so we can gain the regulatory clarity we desperately need for crypto innovation to flourish in the United States,” Alderoty asserted.
Ultimately, executives remain bullish on the emerging market, with Ripple SVP of Engineering Devraj Varadhan predicting the rise of industry giants similar to the Amazons and Apples of this world. He believes this will result from a healthy obsessive focus on customer experience.
Notably, Ripple continues to expand its market reach for its cross-border payment solutions while positioning itself as a key consultant in CBDC development and a solution provider for CBDC interoperability. Recently, the prime minister of Montenegro revealed that it had launched a stablecoin pilot program with the help of Ripple while hinting at a partnership to build an inclusive digital payment infrastructure.