NFT, GameFi, DeFi, Cross-Chain: Top Trends in Crypto in 2021 (Bonus: Coins to Watch!)
As Q4, 2021 inches closer to its ending, the right moment has come to observe the hottest trends of Web3.0 scene.
Here’s the shortest guide to four red-hot segments of the cryptocurrency sphere created by GetBlock, a leading nodes connection vendor for 40+ blockchains.
Top Crypto Trends for 2021: NFTs
Digital collectibles or non-fungible tokens (NFTs) represent the class of cryptocurrency tokens with unique characteristics verified by blockchain cryptographic power. Say, we can’t see the difference between one Ether stored in Alice’s wallet and one Ether proudly owned by Bob.
As such, the tokens of major blockchains are ‘fungible’: ETH or BTC coins are interchangeable. NFTs work differently: every ‘non-fungible’ tokens can be customized and therefore defined from its analogues.
This feature allows crypto enthusiasts to save, store and exchange pictures, videos, music tracks as NFTs. As the segment is on fire, the prices for NFTs are rocketing.
The prices in this sphere have nothing to do with ‘real-world’ value of the underlying files: as covered by GetBlock, an NFT artist recently sold himself a ‘CryptoPunk’ NFT for more than $0.5 billion.
Tokens to watch: MANA, SAND
Top Crypto Trends for 2021: DeFi
Decentralized finances protocols (decentralized finances or DeFi) should be referred to as a sort of decentralized (on-chain, i.e. based on smart contracts only) software applications suitable for basic financial operations: lending/borrowing, stablecoins minting, ‘yield farming’ (earning passive income for providing liquidity to DeFis), and so on.
Ideologically, DeFis replace classic banking institutions allowing to earn and trade digital assets with no KYC. DeFisare considered to be ‘non-custodial’ and anonymous ecosystems: they don’t use centralized servers and wallets for customers’ funds, personal data and keypairs.
DeFis euphoria started in Q3, 2021 with ‘yield farming’ mania: crypto enthusiasts were switching between protocols seeking for the best rewards rate. This process catalyzed the interest in ‘DeFi tokens’, native cryptocurrencies of DeFiprotocols.
Tokens to watch: AAVE, COMP, YFI, CRV, BAL, LINK, DYDX, SUSHI, UNI, 1INCH
Top Crypto Trends for 2021: GameFi
GameFi (‘gamified finances protocols’, combination of ‘gaming’ and ‘DeFi’) applications are blockchain-based games that incentivize users to join them by financial motivations. ‘Play-to-Earn’ (PoE) is the second name for this type of protocols.
As such, GameFi protocols provide their users with the opportunity to earn money by their gaming skills. Unlike traditional online MMORPGs, the transactions and characters of GameFi protocols are stored on blockchains: Ethereum, Binance Smart Chain, Tron, Polygon, and so on.
Actually, the majority of decentralized gaming protocols are built on the intersection between DeFi and NFT segments.
Tokens to watch: AXS, SLP
Top Crypto Trends for 2021: Cross-Chain
However, in 2021, the market badly needs the systems that would allow different blockchains to interact seamlessly. Say, the DeFi sphere is interested in interactions (‘bridges’) between Ethereum and Bitcoin, Ethereum and Eos, and so on.
While typically such problems are addressed with two-way bridges, there is a class of applications specially designed for cross-networks integration. Polkadot and Cosmos represent the most popular protocols of this scene.
Tokens to watch: DOT, KSM, ACA, KAR, ATOM
Imagine: GetBlock connects to blockchain nodes all types of applications listed above! Our ecosystem of nodes endpoints turn blockchains into decentralized back-end platforms for DeFis, GameFis, NFT marketplaces, and so on.
For further details, please, don’t hesitate to contact our customer success team to access Ethereum, BSC, Polygon, Bitcoin in testnet and mainnet.