Messari 2023 Report Fully Summarized (7 Key Takeaways)

Messari, the crypto market research firm, has released its 2023 report. You can read the full text here. For those who can't get through the entire 168-page report, I've put together a brief summary.

1. The fall of centralized services: CeFi

This year, starting with LUNA, the Terra ecosystem collapsed, taking down many projects large and small. Then FTX, the world's second-largest exchange, also fell, making the collapse of centralized projects plain to see. It was a massive event, nothing short of a tectonic shift within the crypto ecosystem.

2. The coming year, 2023, will be the year of crypto regulation

Crypto regulation looks set to begin in earnest in 2023. In particular, clear regulations for exchanges and stablecoins appear likely to be put in place. At last, the crypto industry will truly enter the institutional mainstream.

3. Bitcoin and stablecoins will remain important

Bitcoin will continue to hold the number one spot. However, its chances of being used as a currency are still low, and in step with this, building out stablecoin infrastructure will come to the fore.

4. The rise of Ethereum and Layer 1s

The Ethereum Merge was a milestone in crypto history. It was a remarkable achievement by Vitalik and the Ethereum core team. Other Layer 1 ecosystems are gaining ground and threatening Ethereum, but Ethereum will keep evolving as well.

5. DeFi still has a long way to go

Uniswap still dominates the market, but a number of DeFi services, including Lido, will rise. The key will be DAOs.

DeFi also needs standardized security and audits. There should be more transparent disclosure of information, and risks need to be managed well. Finally, app accessibility needs to be expanded for everyday users.

6. NFTs and DeSoc

NFTs, which peaked in 2021, mostly crashed in 2022. However, we can look forward to progress in NFT infrastructure next year. NFTs still have potential. Decentralized social media (DeSoc) will also rise.

7. Hardware, infrastructure, and governance tools are key

To move toward Fintech 3.0, hardware, wallets, browsers, secure data pipes, and new governance and social contracts are essential.

Final summary

That wraps up this brief summary of the Messari 2023 report. To sum it up in one line: Bitcoin and Ethereum will remain strong going forward, and stablecoins, DeFi, NFTs, and DeSoc are expected to grow as their infrastructure improves.