How is the cryptocurrency market going to evolve in 2024? While the consensus is that it will be bullish, the commentators say it will not be a good time to become complacent. Creating advancements in blockchain technology will be key to sustained growth — and long-term survival means using resources sparingly with the knowledge that a bear market will eventually return.
Cointelegraph Accelerator asked its partners and mentors to suggest three things that Web3 founders should keep in mind this year. They suggested that users are ready for products that they can indeed “use” — meaning they’re ready to reward founders who focus on things like user experience, interoperability and account abstraction solutions.
Interoperability between networks
Robby Yung of Animoca Brands
Robby is the CEO of Animoca Brands, a blockchain gaming and digital rights company headquartered in Hong Kong.
Even though we may be emerging from a bear market, runway is everything. You need to be able to survive to build your dreams.
“NFTs are stores of culture” -yat— Buuvei (@i3uuve1) January 5, 2024
Watch this spectacular 2 minute part of @ysiu interview talking about bigger goals for @MocaverseNFT from a strategic standpoint in 2024 pic.twitter.com/LrkUiq6CKr
The sustainability of token economies is far more important than short-term performance, and we have seen this play out over the last several years. Thoughtful tokenomics is more important than ever.
Related: What’s ahead for crypto and blockchain in 2022?
Lastly, I would encourage everybody to think about interoperability and how they are providing utility for other projects and Web3 IP. This is the best way, not only to growth hack, but really to lean into the benefits of the network effects of Web3.
Sandeep Nailwal of Polygon
Sandeep is a co-founder of Polygon, the layer-2 blockchain.
Community building should be a key focus of any founder. Interoperability is imperative: Seamless interaction between diverse blockchain networks will drive innovation. Founders should focus on fostering interoperability standards, fostering a more connected and collaborative ecosystem.
User-centric design: Prioritizing user experience and accessibility will be paramount. Founders should ensure that complex technologies are presented in user-friendly interfaces, encouraging broader adoption and engagement.
Focus on the users
Some Cointelegraph Accelerator partners also said user-generated content was another feature that could drive Web3 growth this year. That could prove particularly true as account abstraction solutions improve, enabling the creator economy to function more easily on the blockchain. (After all, what’s the point of interoperability if you don’t have NFTs or memes to move across platforms?)
Sebastien Borget of The Sandbox
Sebastian is a co-founder of The Sandbox, a metaverse platform where users can deploy nonfungible tokens (NFTs) to monetize their gaming experience.
The arrival of several major Web2 gaming actors in 2023 — such as Ubisoft, Square Enix, Bandai Namco, Com2uS, Krafton, Netmarble and others — should drive a new influx of traditional players and quality games as their Web3 titles launch this year.
Onboarding of users will be increasingly easy with the progress of decentralized ID solutions, account abstractions and seamless wallet creations. User-generated content and the creator economy will be among the drivers of growth for the space this year, reinforcing the meaning of true digital ownership, while platforms like The Sandbox have now opened publishing and their marketplace to creators.
Jacob Ko of Superscrypt
Jacob is a partner at Superscrypt, a venture capital fund focused exclusively on Web3.
Web3 founders should think about building net new experiences and applications that are only possible with blockchain tech — things that are 100x better with Web3 than without. The internet has been around for over 30 years, and a full generation of people have grown up as internet natives. They understand the value of intangibles, community and memes and expect part of the product/protocol to be given to them eventually. These aspects of Web3 are true force multipliers.
Lastly, 2024 is a risk-on year. With more attention and people entering the space, we are moving into speed-run mode. Fight the temptation to let token prices drive your decision-making. Stick to your foundational principles, iterate fast and build something sustainable and of value to your community. Immense value will flow from this.
Mentality and focus
Beyond the tech aspect of Web3, experts advised that participants stay mentally grounded in the turbulent months ahead. That means establishing clear goals and moving quickly because the cryptocurrency industry doesn’t have much patience for laggards.
Stephan Apel of Outlier Ventures
Stephan is a founding partner and the CEO of Outlier Ventures, a Web3 accelerator.
Amid the turbulence of the past year, we are seeing more applications than ever for our Base Camp accelerator programs, and there have been many reasons to be very optimistic. Entering 2024, emerging from the bear market presents significant potential for Web3 founders.
Related: How crypto adoption grew in 2023, from investing to new ventures
Founder fortitude: Embrace the founder mentality, focusing on mental fortitude, an execution-driven mindset and clarity on business goals for success in the dynamic Web3 industry.
Execute swiftly and efficiently: In the fast-paced “crypto time” of Web3, founders must execute objectives promptly and efficiently. Act swiftly in client interactions and discussions with investors, ensuring opportunities are seized with discipline, focus and conviction.
Network strategically: Leverage every opportunity for networking. Recognize that competition is fierce in the rapidly evolving Web3 landscape. Build connections early, seek feedback and iterate ahead of the competition, understanding that community and connections are vital in this environment.
Richard Muirhead of Fabric Ventures
Richard is the founding partner of Fabric Ventures, a company dedicated to investing in and building decentralized data networks.
No more excuses: Performant blockchains are upon us. Before true adoption and engagement could scale, compelling narratives won the day. Now, the winners will be decentralized applications (DApps) that first solve priority pain points for the consumer. This could be following their favorite cricket team, trading assets multichain, or building cross-brand loyalty.
But remember, ideas are mere puffery without execution, so map your vision for the year to establish clear objectives. Share them across the team. Go to bed early and get on it (with a smile and probably a coffee). Daily steps will compound, which is, as Warren Buffett says, the most powerful force in the universe.