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Blockchain technology and digital assets are transforming how we operate as a society, interact with money and approach governance. This ecosystem has grown exponentially—from the advent of digital assets to blockchain-enabled innovations allowing greater access to capital, democratizing wealth and empowering information and asset ownership.

However, in 2022, a deteriorating macroenvironment and rising interest rates dampened investor appetite for risk assets. Additionally, several high-profile centralized collapses compromised trust in the digital asset industry.

Even in this challenging environment, many recognize these failures were not a reflection of the underlying technology, and the promise of decentralization hasn’t lost its luster. Instead, I believe the hard lessons learned will lay the foundation for more sustainable growth. Here are a couple of ways I expect blockchain and digital assets to continue to energize new financial paradigms in 2023 and beyond.

Areas With Underdeveloped Financial Markets Will See Accelerated Digital Asset Adoption

The U.S. has a highly developed, widely adopted financial system, and the U.S. dollar is the global reserve currency. These factors make the entrenched traditional system hard to disrupt. Conversely, regions with less developed financial systems and more volatile currencies may be more receptive to adopting digital assets. Moreover, centralized monetary networks have been feeling growing pains as developing nations face outsized devaluation and inflation.

As a result, there is an increasing sentiment that the future of money is digital—especially in countries that have experienced long-term hyperinflation. For example, Venezuela and Argentina saw year-over-year inflation rates of 114% and almost 79%, respectively, in 2022.

I believe areas with high unbanked or underbanked populations have a high potential rate of change; the less penetration of traditional financial institutions, the greater likelihood and speed of digital asset adoption. While some countries’ infrastructure deficiencies present hurdles to introducing technological advancements, we will likely see rapid growth in countries that can support digital asset initiatives. Namely, Colombia plans to create a digital currency to make “transactions easier for the consumer.”

The potential for digital assets to enable transactions with less friction and fewer fees may accelerate adoption in emerging markets. For example, international remittances are a critical lifeline for people in low- and middle-income countries. In 2022, remittances to these regions grew an estimated 5% to $626 billion, with remittances to Latin America and the Caribbean increasing 9.3% to $142 billion.

However, cross-border payments are mired by sluggish settlement times, onerous fees and commissions, and unfavorable exchange rates, which subtract an average of 6.3% from the payment. Comparatively, digital assets can facilitate nearly instantaneous value transfer with marginal costs, which could transform global remittances. Countries with low access to financial services, barriers to inclusion, distrust of centralized systems and high remittance costs will be prime contenders for digital asset adoption.

Projects With Concrete Utility Will Drive Sustained Digital Asset Adoption

2023 should see the emergence of more blockchain-native and traditional companies leveraging blockchain for projects with concrete utility that solve infrastructure and societal challenges. These applications will likely drive stickier adoption and meaningful engagement.

We are in a period similar to the early days of the internet when the frontier was mainly unproven, so skepticism was high. While most early internet companies dissolved, those that found product-market fit changed everything. Blockchain and digital asset projects that find the same could have a tremendous impact worldwide.

More large entities developing blockchain and digital asset initiatives will help restore trust and inspire confidence to create solutions with this resilient technology. For example, the Starbucks Odyssey program integrates non-fungible tokens with the company’s loyalty program. I believe more brand strategies for digital assets focused on consumer and brand loyalty will emerge, leading to the proliferation of similar initiatives.

Back To The Basics

The year ahead holds great potential for our industry. As we reflect on 2022, difficult events can help us refocus on blockchain technology’s core tenets—decentralization, transparency and immutability—to develop a new, more democratized financial paradigm.

Blockchain and digital assets were developed to address dwindling confidence in legacy trust centers and mitigate concerns about centralization within the financial system. While some projects focused on building innovations with integrity, transparency and trust, others were built hastily, driven by a desire to make fast money. And while this explosive development led to exciting ecosystem growth, much of it was in the areas of centralized exchanges and centralized counterparties, which couldn’t withstand stress tests.

Going back to the basics means applying the foundational principles to build robust infrastructure and meaningful projects that introduce tangible value propositions for wide-scale social improvement. If an industry innovates, but only a select group wins, that isn’t innovative at all. Additionally, engaging in thoughtful collaboration with regulators can bring clarity to innovation without stifling it.

The established and incoming participants that prioritize blockchain’s fundamentals and center accessibility for all will drive the next improved iteration of the ecosystem, long-lasting adoption and great outcomes for financial stability and economic growth.

The information presented is for general educational purposes, based upon publicly available sources believed to be reliable, but unverified. This communication is in no way a solicitation or an offer to sell securities or investment advisory services.

Several international airlines have been exploring various ways in which Blockchain technology can be used to help improve the efficiency in the way they operate:

-Air France is trialling a blockchain-powered health passport, ICC AOKpass. This app enables passengers to present their COVID-19 negative test on their mobile phones. -British Airways has invested in and is working with Zamna, a company that are using facial recognition with blockchain technology. -Delta airlines is a member of the blockchain research institute, exploring various technologies to improve the flying experience for its customers. -Etihad Airways has partnered with Winding Tree’s blockchain travel platform. -Luftansa started the initiative Blockchain for Aviation (BC4A), which plans to include participants such as aircraft manufacturers, logistics providers, MRO service providers, software developers, and many more. -Singapore Airlines is using blockchain technology as part of its frequent flyer loyalty program using KrisPay, which offers promotions to customers.

Airlines are also using blockchain technology to help manage take-off and landing slots. The EU-funded SlotMachine consortium is using blockchain technology to develop a cost-efficient solution which will enable airlines to swap take-off and landing slots more efficiently. It is hoped that SlotMachine will allow for more optimal use of airport resources and result in fewer passenger delays. Notably, airlines will not be able to access any competitors’ private data, such as what they are bidding on and how many slots the different airlines have released, but they will be able to see the slots available which best suit their incoming and out-going flights. This is another good example of how blockchain technology is enabling ‘collective capitalism’ - creating a system where previously competitive capitalistic organisations can securely share data they wish, for the benefit of their respective customers and the profitability of the airlines. Alongside this, French industrial conglomerate Thales is also using blockchain technology to trace those aircraft parts undergoing compliance tests. The authenticity of aircraft parts is crucial, given the need for high safety standards in the airline industry.

However, it can be of no surprise at all that it was only a matter of time before Non-Fungible Tokens (NFTs) also found their way into the airline industry - as the picture below shows.

Australian airline Qantas will also offer frequent flyer benefits to those buying into its NFT collection (which was announced March 2021 but hasn’t been publicly unveiled yet).

In the US, Kinectair, a startup which is building a decentralized on-demand air travel network, has made NFTs a central feature of its loyalty program, linking different tiers of benefits to the purchase of specific NFTs. And Flycoin, a startup linked to the owners of regional airline Ravn Alaska and yet-to-be-launched Northern Pacific Airways, is working on a blockchain-based loyalty program which it plans to open to multiple operators in the broader travel ecosystem.

Then, there is the, let’s say, more artsy and playful side of NFTs.

In the case of airBaltic’s Planies, since each is unique, created algorithmically through the combination of 180 pre-defined different visual traits, the expectation is that at some point there will be a collectibles market of sorts, in which specific Planies are sought after not just because of their utilitarian value, but also because of their aesthetics.

NFT technology makes it possible to also collect a creator’s fee in successive secondary market transactions. Think of it as the royalties that accrue from an artwork. In this particular case, the proceeds would go to the airline.

Sales of “NFT(P) by Charmin” – a collectible cryptocurrency digital art – will benefit Direct Relief

CINCINNATI--(BUSINESS WIRE)-- Today Charmin released its NFT(P) crypto collection – three original pieces of digital TP art celebrating Charmin’s mission to help everyone Enjoy the Go both in real life and virtually. Charmin will be rolling out the auction of the first-ever NFT (non-fungible token) art by a toilet paper brand with proceeds benefitting Direct Relief.

The art is a cryptocurrency token which certifies ownership of the digital file using blockchain technology. The NFT(P) presents a brilliant toilet paper aesthetic with soft but durable textures, making it a true centerpiece of your personal crypto art collection. Each roll will be auctioned off and will come with a physical display so people can hang their NFT(P) in their bathroom alongside real rolls.

“We’re always looking to provide the best TP, but a better bathroom experience can expand well beyond the seat. NFT(P) is a fun and playful way to give the biggest Charmin fans a one-of-a-kind virtual version of their favorite roll,” said Rob Reinerman, Charmin Vice President.

Charmin commissioned the digital artwork from three talented illustrators with unexpected style and a playful, unique perspective that brings the splendor of toilet paper to life. The artists are Donna Adi, Shanee Benjamin and Made by Radio.

Unlike a traditional art auction, buyers do not need to be physically present. Bids can be placed from any mobile device from the comfort of your own home throne.

All proceeds from the auction will be donated to Direct Relief, an organization that provides relief in emergency situations providing lifesaving medical resources to communities in need. The funds will build on the $2 million donation Charmin provided to Direct Relief in support of healthcare workers over the last year.

by Lisa Vondale · November 10, 2021 For fans of everything crypto and Disney, the launch of a Disney’s first-ever original NFTs on Sunday certainly began a big wave of digital excitement. In late October, Disney announced they had plans to launch a new lineup of NFTs called “Golden Moments” in honor of Disney+ Day on Friday. Now, we know which iconic characters and logos were chosen for this limited release.

The Walt Disney Company paired with the popular app VeVe to facilitate the sale of the new non-fungible tokens. This week’s drops are categorized into five different brands that fall within the Walt Disney Company family: Star Wars, The Simpsons, Marvel, Pixar and Walt Disney Animation Studios. The releases mark the first-ever official NFT release for all of the categories, except Marvel.

The Simpsons statues were released on Sunday featuring Homer and Bart as well as a skateboard NFT. Walt Disney Animation released on Monday with images that included the spell-binding “Frozen” Queen Elsa and the Mickey Sorcerer Hat.

Pixar dropped yesterday, featuring the adorable Wall-E and the Pizza Planet truck from “Toy Story.” Marvel released their NFTs today with an image of the powerful Iron Man and the Avengers logo.

Finally tomorrow, Disney will release the first-ever official Star Wars NFTS, featuring R2-D2 and C-3PO. Disney has also indicated that an “ultra-rare” product will be available on the Friday.

PURCHASE, N.Y., Dec. 9, 2021 /PRNewswire/ -- Today, Pepsi announces the brand's first-ever foray into the innovative and evolving world of non-fungible tokens (NFTs) with the Pepsi Mic Drop genesis NFT collection. Anchored in the brand's roots in music, Pepsi is creating 1,893 (to mark the year Pepsi was born) unique generative-style NFTs that will go live on the Ethereum blockchain tomorrow, Friday, December 10 at 12:00 PM EST, free for users (outside of gas fees).

The exclusive generative traits of the Pepsi Mic Drop genesis NFT collection, generated randomly by an algorithm so each NFT is totally unique and different, pay homage to the brand's storied history in music and the suite of Pepsi flavors that have captivated unapologetic cola-loving consumers for decades. The Pepsi Mic Drop NFTs will be grounded in variations of a microphone visual and inspired by iconic Pepsi flavors including classic blue Pepsi, silver Diet Pepsi, red Pepsi Wild Cherry, black Pepsi Zero Sugar – even fan-favorite Crystal Pepsi and many more.

"Pepsi has always been a brand with a strong heritage in music and pop culture, so it's only fitting for us to bring that legacy into the new world of NFTs with a 'mic drop' of epic proportions," said Todd Kaplan, Vice President – Marketing, Pepsi. "We created the Pepsi Mic Drop genesis NFT collection for our fans, putting their interests and needs at the forefront by ensuring the NFTs are all free of charge and presented equitably as an inclusive and accessible opportunity for anyone to experience the exciting world of NFTs. This collectible series of microphones is not only inspired by our history, but also represents the scale and scope of how accessible we see this space becoming in the future."

Pepsi is implementing a waitlisting process at the start of the user experience to ensure an equitable experience for consumers with more manageable gas fees and secure participation. The Pepsi Mic Drop wallet waitlist opens Friday, December 10 at 12:00 PM EST on micdrop.pepsi.com. From there:

On Tuesday, December 14 at 12:30 PM EST, consumers who have been waitlist-approved will be able to mint one of 1,843 Pepsi Mic Drop NFTs free of charge (not including Ethereum gas fees). Consumers should stay tuned as the 50 remaining NFTs will be held for other exciting initiatives in the near future. Once a consumer is verified, the token will be minted and directly sent to their wallet. Consumers will then be able to identify their exact Pepsi Mic Drop NFT and are welcome to list on OpenSea or any other third-party platform at any point by satisfying the selected platform's terms of service.

In keeping with the Pepsi brand's thought leadership in emerging marketing practices, Pepsi is implementing a carbon offset program for the launch of the Pepsi Mic Drop NFT to ensure a net carbon footprint of zero.

The Pepsi Mic Drop NFT collection was designed by and created with VaynerNFT, a consultancy under the umbrella of the VaynerX holding company.

Did you know the United States Postal Service has NFTs?

Stamps from the Post Office are among the most popular collectible items, and the USPS is taking that idea to the next level with its own NFTs. It brings that same level of collectability from the world of physical stamps to digital ones.

The United States Postal Service and VeVe (which also released NFTs from brands like Marvel) partnered to create NFTs back in November 2021, and the postal service talked about them again on its "mailin' it" podcast. (Did you know USPS had a podcast? We sure didn't.)

The original batch of NFTs was dedicated to Día de Los Muertos, and there were four unique NFTs to get. Each one was limited to a few thousand copies. They weren't costly at launch, with each selling for $6. However, they did sell out quickly, and now they're going for a minimum of $195 on VeVe's secondary market, so they weren't a bad investment at their launch price.

The USPS has since released four other NFTs on the VeVe marketplace, all of which are Christmas-themed as part of its A Visit From ST. Nick collection. The rarest of these is currently commanding upwards of $250, so it seems there's a market for these USPS NFTs after all.

The entertainment giant has partnered with Recur to develop digital collectibles based on IP from brands like Paramount Pictures, Nickelodeon, CBS and MTV.

Want to buy a non-fungible-token (NFT) of Spongebob Squarepants, Star Trek‘s Spock or Mission Impossible‘s Ethan Hunt? You might soon get your chance.

ViacomCBS is partnering with NFT company Recur to develop and sell digital collectibles based on its vast library of films and TV shows. In a statement Wednesday, ViacomCBS consumer products president Pam Kaufman said that “voracious collectors and first-time NFT buyers alike will find unique opportunities to own a piece of their favorite franchises” through the deal.

The companies will launch a platform in early 2022 where users can buy, collect and trade NFTs based on intellectual property from CBS, Paramount Pictures, Nickelodeon, Comedy Central, MTV, Showtime and BET. Buyers will be able to use credit or debit cards to buy the NFTs, eliminating the need to use cryptocurrency for the purchases.

While NFTs have been an area of interest for the entertainment industry in recent months, ViacomCBS is the largest company in the sector to make a significant corporate-level move into the space. The hope is to build a business that can add to existing lines of merchandise (like clothing or toys) and collectibles (like trading cards), but without the friction of having to go to a store.

In July, Lionsgate announced a deal with another NFT platform, Autograph, to sell NFTs based on its content like John Wick and Mad Men. And in June, CNN began selling NFTs of some of its historic news coverage. Fox Corp., meanwhile, announced a new business unit, Blockchain Creative Labs, and invested $100 million into a creative fund to grow its crypto and NFT business, though so far it hasn’t launched any sales.

Some NFT firms are seeking to enter the entertainment business by leveraging the IP they’ve created on the blockchain. Larva Labs, which created the NFT projects CryptoPunks and Meebits, signed with UTA for representation in the film, TV and gaming space.

WASHINGTON—Calling it a no-risk investment guaranteed to appreciate in value over time, Fannie Mae officials announced Thursday that the lender had issued billions of Mortgage-backed NFTs. “This is as stable as they come, over the entire history of NFTs, they have only appreciated in value,” said CEO Hugh Frater, who noted that the collections of bundled NFTs have received a triple-A rating from every major credit agency. “We believe NFTs are the new cornerstone of American investment and savings, something that everyone should tie their retirement to if they are trying to be conservative. We’ve also sliced-and-diced stable NFTs with less secure NFTs and repackaged them to protect our investors from risk. That way, the only problem would be if the entire NFT market crashed, which we see as a total impossibility.” At press time, Fannie Mae was entering the futures market by hedging their mortgages against the future price of NFTs.

In JP Morgan’s virtual lounge, you can buy land with NFTs and cryptos and meet a tiger.

You can now do your banking in the metaverse after the US lender JP Morgan opened up a lounge in the blockchain-based virtual world of Decentraland on Tuesday, becoming the first major bank to do so.

In the virtual lounge, you can buy virtual plots of land with non-fungible tokens, or NFTs, and make other purchases using cryptocurrency.

Before you reach the lounge, you are greeted by a tiger and an avatar of JP Morgan’s CEO Jamie Dimon.

The bank unveiled its virtual world, called the Onyx Lounge, alongside a report which showed the types of business opportunities companies may find in the metaverse.

”The metaverse will likely infiltrate every sector in some way in the coming years, with the market opportunity estimated at over $1 trillion (€880 billion) in yearly revenues,” the report said.

JP Morgan said it plans to "play a major role in the metaverse," and could help tackle issues in the virtual world currently dealt with in real life, such as validating accounts and fraud prevention.

Interest in the metaverse spiked last October after Facebook announced it was changing its name to Meta to reflect its focus on the virtual world, where users will be able to work and socialise.

The metaverse, which already exists especially in gaming, may provide massive advertising potential, which companies such as Nike are already trying to tap into with NFT-based products and shop fronts.

The Home Depot has recently filed 24 Web3 trademarks for its logo, name and brands, as shared by Mike Kondoudis on Twitter.

"Virtual home improvement?

The #HomeDepot has filed 24 trademarks for its name, logo, and popular brands claiming plans for

🛠️ NFTs
🛠️ Virtual home improvement goods
🛠️ Retail stores for virtual goods
🛠️ Promoting goods in virtual worlds
…and more#NFTs #Metaverse #Web3 pic.twitter.com/eP5SYimIZy
— Mike Kondoudis (@KondoudisLaw) November 22, 2022

The trademarks were filed on November 17 with the United States Patent and Trademark Office and includes brands such as Husky and Hampton Bay.

Under the international class 9 trademarks, services covered include computer programs including home improvement goods to be used in virtual worlds and downloadable software to be used as vouchers that can be redeemed in both the real and virtual world. Downloadable digital assets displaying home improvement goods as NFTs and downloadable coupons that are possible to redeem in real and virtual worlds are also included in the plan.

Other offerings include a virtual store that eases buying real and virtual worlds goods. Marketing and advertising solutions such as promotion of products & services in the virtual world be provided too.

Coming to the international class 41 trademark, it hints at plans to offer DIY and home improvement projects in augmented and virtual reality environments. Non-downloadable platforms meant for users to make virtual home improvement projects for purposes such as entertainment are also included.

Under international class 42 trademark, Home Depot will offer interactive environment details besides content based on virtual reality including home improvement goods and avatars. Besides these, there’s a lot more in the offerings list.

Lowe, a home improvement retailer, joined metaverse in June, enabling customers to visualize constructing projects in the 3D virtual world with a total of 500 free downloadable assets.

EveryRealm has also partnered with Hometopia for a home design game on Roblox to enable users to establish their dream communities and home with friends.