Opinions expressed by Entrepreneur contributors are their own.
You are reading Entrepreneur India, an international franchise of Entrepreneur Media.
The year 2022 has been a challenging one for the Web3, especially cryptocurrencies, space. While on the one hand we have seen a big collapse of cryptocurrencies, on the other hand we have launched new projects and protocols. The Ethereum upgrade has been one of the major developments for the cryptocurrency industry, making the blockchain more scalable, secure and sustainable. But that wasn’t all. India has also seen the Central Bank Digital Currency (CBDC) and the new tax policy on cryptocurrencies introduced by the government. Besides the Web3 space, there has been a lot of movement in other industries as well. Online fraud has increased dramatically, making cybersecurity even more necessary. The fintech space has also seen some noteworthy onesinitiatives undertaken by the government including UPI 123 Pay and the launch of 75 Digital Banking Units (DBUs) in 75 districts to address the low penetration of banking and financial services in the country.
While 2022 is behind us, the big question that now arises is: how will the year 2023 turn out for some of these sectors? Entrepreneur India takes you through some trends as outlined by some experts.
Web space 3
Focus on investor education and awareness: The year2023 is expected to see continued development of the Web3 infrastructure with a continued focus on 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 with initiatives such as the Global Law Enforcement Training Program, revealing Binance’s hot and cold wallet addresses through Proof of Reserves, and establishing the Industry Recovery Initiative (IRI) to protect consumers and rebuild the industry.”
Blockchain as a determining aspect: In 2022, Ethereum switched from the Proof of Work consensus algorithm to the Proof of Stake consensus algorithm, reducing electricity consumption by 99%. The sustainability crisis is existential and requires a new type of digital product that is co-owned, co-created and co-managed. He says Pratik Gauri, co-founder and CEO, 5ire. “This constitutes the third age of the internet and is defined by decentralization, declining trust in institutions, and a new way of looking at value creation and value capture. Blockchain technology will be the defining aspect of Web 3.0. When given that autonomy, people will partner with government, enabling citizens and organizations to play a meaningful role in shaping a future where profit and purpose go hand in hand. This is our definition of the fifth industrial revolution where we transform from profit to purpose.”
Enterprises with transparency, strong ethics to be successful. In 2023, it will be the responsibility of all players in the crypto and Web3 ecosystem to foster a sense of security among their consumers. Says Raj Karkara, COO, ZebPay“Those companies that operate with transparency, ethics and strong values while protecting the interests of consumers will be successful. The year will weed out businesses with weaker models and practices. A key item on every Web3 and blockchain player’s wish list this year would be an enabling regulatory framework that protects investors while encouraging innovation to create new avenues for transforming business across the spectrum, so that all parties industry stakeholders can thrive. We hope India’s presidency of the G20 will help establish an innovative regulatory framework based on new technologies and help create an enabling environment for the cryptocurrency industry.
Other use cases in decentralized networks: Despite a difficult year for bitcoin, in which it has dropped significantly, experts are optimistic about bitcoin and see more use cases in decentralized networks.“My faith in bitcoin, decentralized and permissionless networks increased. I believe we will see more adoption, more transparency, and more use cases in the years to come. Regulators and the ecosystem should work together to keep the bad guys out and ensure the success of this once-in-a-lifetime technological innovation,” says Ankit Wadhwa, co-founder and CEO of Rario.
Adoption of early digital technologies: With the explosion of online fraudAs attackers constantly evolve their techniques to gain maximum advantage, leading to financial and reputational losses for companies across all industries, businesses must look beyond traditional approaches and opt for digital technologies that combine artificial intelligence, machine learning, behavioral biometrics and device intelligence. He saysRanjan R Reddy, Founder & CEO, Bureau“In 2023,. It will also be crucial that all stakeholders work together and build a data privacy infrastructure. In the wake of growing data leakage and alarming identity theft incidents, the primary focus for organizations across all industries will be to ensure trust and security by building an underlying risk infrastructure that will help protect user data, streamline the user journey by creating a secure, transparent environment and a frictionless experience across all industries. This will further pave the way for innovation and scalability.”
Focus on personalization and the sachet: “India has come a long way in its digital journey with over 70% of the total population residing in rural areas now having access to banking and financial services with the help of over 30 lakh rural banking outlets across the globe. country. The year 2023 is “It’s going to be a game-changing year for the rural fintech ecosystem,” says Dilip Modi, founder of Spice Money“As we enter 2023, rural fintech is set to grow by leaps and bounds, some features that will continue to be important to the rural population are personalisation, 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, embedded finance and open banking for hyper-personalization, leading to greater digital adoption, thus driving financial inclusion for the last mile.” .