WhaleFin entered the market last year as the Japanese subsidiary of Amber Group
Li, how do you see the current state of the crypto assets and Web 3.0 space in 2023 and what do you think will happen in the future?
Li Yijin (Li Yijin): I believe that the two most important factors determining the cycle of the crypto-asset industry are the macro-economy and the half-life of Bitcoin.
The crypto-asset industry is still far from the stage of generating endogenous profits and is currently funded by the traditional financial markets based on its bright future prospects.
In addition, the halving of Bitcoin mining rewards every four years creates scarcity and raises the price of Bitcoin, thereby raising the overall market capitalisation of crypto assets, but the three post-half-life bull markets in history were not entirely brought about by the half-life, but by external financial market The bull market was not entirely brought about by the half-life, but simply coincided with cycles of ups and downs in the external financial markets.
There is still a year to go before Bitcoin's half-life in 2024, but it is difficult to predict how the market will infer this.
Meanwhile, the biggest use case for Web 3.0 at the moment is the transaction function, including investment and speculation. While there is no real killer application yet, with Narrative deployments focusing mainly on Layer 1 and Layer 2 and application layer protocols, the DeFi and NFT ecosystems have an opportunity to explode with generic scaling technologies that utilise zero-knowledge proofs.
There is still room for growth, especially in the area of decentralised futures and options trading, and I expect liquidity and market share to grow rapidly in the coming years. you also expect the NFT ecosystem to create diverse application value.
Although the NFT market has shrunk considerably due to the impact of the crypto asset market conditions, I believe there will be continued focus on the potential to find further intrinsic value in areas such as intellectual property, digital identity, membership and RWA (real-world asset) tokenisation.
