Blockchain Technologies for Cryptocurrency & NFT

According to GlobalData, the blockchain market is likely to grow from $3.6 billion in 2020 to $24.1 billion in 2025 at a CAGR of 46%.

The bulk of the trading volume was front-loaded, with most sales being logged between January and May. Trading volume in June was approximately US$678M, a sharp drop of over 80% compared to the average monthly trading volume of US$3.4B from January to May.

NFT marketplaces play an important role in facilitating trading activity by connecting buyers and sellers. OpenSea remains the leading NFT marketplace by trading volume and has approximately 50% market share. While OpenSea has largely maintained its market share over the past year, competition is fierce. New entrants such as LooksRare, X2Y2, and Magic Eden have demonstrated strong performance over the first half of 2022.

An increase in investments and acquisitions aids the growth — PayPal recently acquired Curv (Cryptocurrency Security start-up) in March 2021 at a valuation of $200 million.

• GlobalData estimates Blockchain market to grow at a CAGR of 46% from the year 2020–2025
• Bitcoin and Ethereum cryptocurrencies, based on blockchain technology, have emerged as dominant cryptocurrencies in the world, capturing almost 50% of the crypto market
• Non-Fungible Tokens (NFT) reported considerable growth in 2021, which also increases the demand for Ethereum & Solana that is used in purchasing NFTs

Blockchain technology-based cryptocurrencies such as Bitcoin and Ethereum have registered tremendous growth in recent years. It has prompted the launch of other digital assets as well.

Blockchain and its Role in Cryptocurrencies

Blockchain technology was first introduced in Bitcoin, the largest cryptocurrency globally, with a market capitalization of ~$807 billion as per CoinMarketCap. Blockchain is a decentralized ledger of all transactions in P2P (peer-to-peer) networks and confirms transactions without any clearing authority, as these cryptocurrencies need blockchain to record their transactions (see How Worldwide Cryptocurrency Adoption Changes Compensation & Rewards Programs).

Non-Fungible Tokens

NFT or Non-Fungible Tokens is based on Ethereum-Blockchain Technology. It is a unique digital representation of an item, which can be in the form of an image, video, or audio. It provides the owner of the digital item a unique and clear proof of ownership. As NFTs are unique, they are not replicable similar to an individual game character, artwork, or collectible.

NFT as a market is growing as NFT marketplace such as Opensea currently has listed more than 24 million tokens. As per Forbes, trading in NFTs in 2021 reached $23 billion. The market registered new highs in 2021, with an NFT called “Beeple’s the First 5000 Days” being sold for over $69 million. Growth in the market follows the boarding of the NFT bandwagon by celebrities and global brands such as Nike and Visa investing in the domain. Besides artwork, NFT can be used in multiple sectors, such as Real Estate, to accelerate the verification and transfer ownership by using smart contracts.

A blockchain network can track orders, payments, accounts, production and much more. And because members share a single view of the truth, you can see all details of a transaction end to end, giving you greater confidence, as well as new efficiencies and opportunities.

Blockchain Social Media Mention Trends

Nevertheless, blockchain technology capabilities enable many more applications besides cryptocurrencies: it allows the digital representation — aka tokenization — of financial instruments such as bonds, stocks, or derivatives, the traceability of goods in a value chain, document notarization and more.

Blockchain and Web 3.0

Blockchain-driven technologies such as cryptocurrencies and NFT will play a significant role in the upcoming internet revolution, Web 3.0. Compared to Web 2.0, Web 3.0 is more decentralized, and users can be in control of their online data. It will also help personalize web browsing based on user preference, allowing sellers to market their products better.

Since Web 3.0 is decentralized, it will prevent big corporations from censoring users on the decentralized apps. Web 3.0, based on blockchain technology, will grow with time as we move towards a more decentralized tech ecosystem and token-based economics (see Decentralized Exchanges Risks Review).

The same way the Internet shaped the world by allowing democratic access to information, blockchain is paving the road for how people and organizations set new business rules and exchange assets in this new Web 3.0, replacing trust by a tamper-proof and self-enforcing technology protocol.

………………………

Full Report — https://beinsure.com/blockchain-technologies-cryptocurrencies-nft-market-size/