Trends to watch out for in 2023

The year 2022 has been a challenging year for Web3, especially for the crypto space. While on the one hand, we witnessed a huge drop in cryptocurrencies, on the other hand, new projects and protocols were launched. The Ethereum upgrade was one of the major developments for the cryptocurrency industry, making the blockchain more scalable, secure, and sustainable. But that was not all. India also saw the Central Bank Digital Currency (CBDC) as well as the new crypto tax policy introduced by the government. In addition to the Web3 space, there were also many movements in other sectors. Online fraud increased a lot, further demanding the need for cybersecurity. The fintech space also saw some notable initiatives undertaken by the government, including UPI 123 Pay, and the launch of 75 Digital Banking Units (DBUs) in 75 districts to address the lack of penetration of banking and financial services in the country.

Although 2022 is behind us, the big question that now arises is: What will 2023 be like for some of these sectors? Indian entrepreneur takes you through some trends described by some experts.

web space3

Attention to investor education and awareness: Year 2023 is expected to see continued development of the Web3 infrastructure with continued attention to investor education and awareness. According to Leon Foong, Head of APAC, Binance, “To build a robust Web3 infrastructure, security is very important, and Binance plans to continue initiatives such as the Global Law Enforcement Training Program, disclosing Binance hot and cold wallet addresses through Proof of Reserves and establish the Industry Recovery Initiative (IRI) to protect consumers and rebuild the industry.”

Blockchain will be the defining aspect: In 2022, Ethereum switched from Proof-of-Work consensus algorithm to Proof-of-Stake consensus algorithm, reducing its electricity consumption by 99%. The sustainability crisis is existential and calls for a new kind of digital product that is co-owned, co-created and co-directed. He says Pratik Gauri, Co-Founder and CEO of 5ire. “This constitutes the third era of the Internet and is defined by decentralization, decreased trust in institutions, and a new way of viewing value creation and capture. Blockchain technology will be the defining aspect of Web 3.0. When empowered with such autonomy, people will partner with government, allowing citizens and organizations to play a significant role in shaping a future where profit and purpose go hand in hand. That’s our definition of the fifth industrial revolution where we morphed from profit to purpose.”

Business with transparency, strong ethics to succeed. In 2023, it will be the responsibility of all players in the crypto ecosystem and Web3 to foster a sense of security among its consumers. Says Raj Karkara, COO, ZebPay“Those companies that operate with transparency, ethics and strong values, while protecting the interests of consumers will succeed. The year will weed out companies with weaker models and practices. A key item on every Web3 and blockchain player’s wish list this year would be a supportive regulatory framework that protects investors while fostering innovation to create new pathways to transform businesses across the spectrum, so that all stakeholders in the industry prosper. We hope that India’s G20 Presidency will help establish an innovative regulatory framework based on new technologies and help create a favorable environment for the cryptocurrency industry.

More use cases in decentralized networks: Despite a challenging year for bitcoin, where it crashed significantly, experts are bullish on bitcoin, seeing more use cases in decentralized networks.. “My confidence in bitcoin, decentralized and permissionless networks has increased. I think we will see more adoption, more transparency, and more use cases in the coming years. Regulators and the ecosystem must work together to keep bad actors out and ensure the success of this once-in-a-lifetime technological innovation,” says Ankit Wadhwa, Co-Founder and CEO of Rario.

cyber security

Adoption of early digital technologies: With the explosion of online fraud As attackers constantly evolve their techniques for maximum profit, leading to financial and reputational loss for companies across industries, companies must look beyond traditional approaches and opt for digital technologies that combine artificial intelligence, machine learning, behavioral biometrics and device intelligence.. He says Ranjan R Reddy, Founder and CEO, Bureau“In 2023,. It will also be crucial that all stakeholders collaborate and create a pro-privacy data infrastructure. With the rise in data breaches and alarming incidents of identity theft, the key focus for organizations across all industries will be ensuring trust and security by creating an underlying risk infrastructure that will help protect data. of users, simplifying the user journey by creating a secure and transparent environment. and frictionless experience in all sectors. This will further pave the way for innovation and scalability.”

rural financial technology

Focus on personalization and sachetization: “India has come a long way in its digital journey with more than 70% of the total population residing in rural areas and now having access to banking and financial services with the help of more than 30 lakh rural banking establishments across the country. The year 2023 is going to be a game-changing year for the rural fintech ecosystem, says Dilip Modi, founder of Spice Money.“ As we move into 2023, rural fintech is set to grow by leaps and bounds, some features that will continue to be important to rural people are personalization, sachet and assisted travel of banking and payment services. 2023 will pave the way for a rural fintech revolution that will focus on cashless transactions, integrated finance, and open banking for hyper-personalization, leading to greater digital adoption, thus driving financial inclusion in the last mile.”