The cryptocurrency bear market in 2022, largely triggered by aggressive interest rate hikes from the world’s major central banks to tackle a surge in global inflationary pressures, has seen investors draw significant funds out of the asset class. According to DeFi Llama’s crypto project fundraising round tracker, the amount being raised by new projects has been in rapid decline since late 2021.
After hitting $7.06 billion in November 2021, right around the time when major cryptocurrencies like bitcoin and ethereum hit their record highs, funding had slumped to only around $1.12 billion in November 2022, a near 85% decline.
Investors have also yanked money from the nascent Decentralized Finance ecosystem, which has seen its total value locked (TVL) in smart contracts decline from peaks of around $250 billion at the end of 2021 to just under $60 billion at the end of 2022.
But that does not mean that innovation in crypto is dead. On the contrary, innovation in the cryptocurrency space is alive and well. The fact that the ongoing bear market has scared off weak-handed investors who tend to bid up prices during a bull market phase means that investors with a stronger stomach have a great opportunity to invest in early-stage projects on the cheap.
Here are a few up-and-coming crypto projects that crypto whales have been piling money into despite the ongoing crypto bear market.
The young move-to-earn crypto niche has shown a lot of promise, but early success stories like STEPN have significant limitations that have, so far, prevented them from conquering the mainstream.
FightOut, which touts itself as the future of move-to-earn, wants to change that in 2023. FightOut is a brand new web3 fitness application and gym chain that rewardsRead more on cryptonews.com