Coinbase Shares Future of Scalability Predictions for Ethereum, Metaverse, Defi, NFTs –

Coinbase's chief product officer shared some 2022 predictions regarding Ethereum scalability, the metaverse, decentralized finance (defi), non-fungible tokens (NFTs), and more.

2022 Predictions from Coinbase's Executive

Coinbase Chief Product Officer Surojit Chatterjee divided last week 10 predictions for what the crypto industry holds in 2022. The predictions cover a range of crypto topics including ETH Scalability, zero-knowledge proof technology, decentralized finance (defi), non-fungible tokens (NFTs), and the metaverse.

Non-fungible tokens “will become the next evolution of users’ digital identity and passport to the metaverse,” the executive described, adding:

User-created metaverses will be the future of social networks and will threaten the ad-driven centralized versions of social networks of today.

“Brands will begin to actively participate in the metaverse and NFTs,” he continued. “NFTs and the Metaverse are becoming the new Instagram for brands.” Also: "Web2 companies will wake up and try to break into Web3... and Metaverse in 2022. However, many of them will likely create centralized and closed network versions of the Metaverse."

Regarding regulated Defi and the “emergence of on-chain KYC attestation,” the Coinbase executive explained that “many Defi protocols will embrace regulation and create separate KYC user pools.” He detailed:

Institutions will play a much larger role in Defi participation… The growth of regulated Defi and on-chain KYC attestation will help institutions gain trust in Defi.

The Coinbase exec further predicted that “DeFi insurance will emerge,” emphasizing, “To protect users from hacks, viable insurance protocols will emerge in 2022 that guarantee users’ funds from security breaches.”

The predictions also cover Ethereum’s scalability. The executive said:

ETH Scalability will improve, but newer L1 chains will see significant growth – As we welcome the next hundred million users into crypto and Web3, scalability challenges arise for ETH will probably grow.

What do you think of Coinbase management's predictions? Let us know in the comments section below.

Kevin Helms

Kevin, an Austrian economics student, found Bitcoin in 2011 and has been an evangelist ever since. His interests lie in Bitcoin security, open source systems, network effects, and the interface between economics and cryptography.

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