Review: Could 2022 Be Ethereum’s Year?

To begin with, 2022 is all about Ethereum. Almost everything groundbreaking and significant in the world of blockchain right now is taking place in the Ethereum ecosystem. In the coming year, I see three major trends fueling growth in the Ethereum ecosystem.

Decentralized autonomous organizations (DAOs) symbolize the future of how communities, missions, and businesses will all come together in one place. While DAOs have been around for a while, I believe 2022 will be the year that they begin to gain traction as a preferred structure for creating new businesses.

This will also be a pivotal year for DAO governance, as users get more comfortable using stakes to exercise voting power and delegating voting power to those who are experts on specific themes. This could, in the long term, spark a shareholder revolution in traditional markets as well.

The ecosystem of decentralized finance (DeFi) will continue to interact with traditional finance. By the end of 2021, it is expected that at least one big existing centralized finance (CeFi) entity would provide customers with access to the DeFi ecosystem.

As providers attempt to meet regulatory standards without introducing centralization, I believe we will see the rise of some decentralized identity management components that provide a layer of know your customer (KYC) to DeFi.

The Ethereum ecosystem’s end goal, third and most critically, is now visible. The transition to proof of stake on Ethereum, as well as a broader movement in user behavior from layer 1 to layer 2, is already underway. By the end of 2022, Ethereum will largely serve as a platform enabling other blockchains (layer 2 networks) to communicate with one another. The Ethereum future is a multi-chain future.

The beginning has come to an end. If the cloud is any indication, broad adoption has a long and beautiful future ahead of it, possibly another 10-15 years. The uncertainty concerning the key platforms on which this growth will occur, as well as the largest, most enduring participants in the ecosystem, has come to an end, in my opinion.

The Ethereum ecosystem is the first significant beneficiary. While there is still a lot of doubt regarding which ecosystem will win the layer 2 challenges, the Ethereum ecosystem will win regardless of who wins layer 2. It’s difficult to deny Ethereum’s total domination in terms of developer skills and participation money.

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