Sandy Yang predicts increased digital asset industry consolidation

Ripple Labs European Managing Director Sandy Yang expressed her opinion on how the cryptocurrency industry will develop in 2023. She noted that the past year was not easy for the industry, which experienced ups and downs.

However, Yang believes that the adoption of blockchain and crypto assets will accelerate among institutions as financial market players launch more pilots using new technologies. The top manager of Ripple Labs is sure that in 2023 we should expect increased consolidation among participants in the digital currency market.

The most resilient crypto companies will make acquisitions to “fill in the gaps” in their capabilities after the FTX bankruptcy, as well as after the collapse of Celsius, Voyager and Three Arrows Capital. The trend will increase as conservative financial giants, and large companies from other industries begin to take over firms working in the field of blockchain and cryptocurrencies.

In addition, Yang believes that in 2023, cryptocurrency market players will focus on solutions based on less energy-intensive blockchains, for example, services for tokenization of carbon credits.

The managing director of Ripple Labs Europe predicts that regulators’ digital currencies will “come of age” this year. Many states are actively testing their own stablecoins and are almost ready for their full launch.

In addition to central bank digital assets, fiat-backed coins will be in high demand this year, Yang said. A prerequisite for this will be the interest of business in the possibility of real-time settlements.

Meanwhile, Roman Nekrasov, co-founder of the ENCRY Foundation, believes that the volatility of cryptocurrencies will persist during the first six months of 2023. The crypto enthusiast suggested that against the backdrop of the ongoing bear market, it would be optimal to invest in assets whose rate is least subject to fluctuations.

As an argument, he cited large investors who prefer to invest in BTC, ETH and stablecoins, while leaving only a small part of their funds in other digital assets. According to the co-founder of the ENCRY Foundation, small investors should also take a conservative approach.

Do you agree with the proposed strategy?