As 2024 draws to a close, it’s time to reflect on the year and revisit the projections made at its outset regarding investment opportunities in the blockchain industry. At the beginning of the year, our forecasts highlighted three key areas expected to experience significant financial growth.
Now, as we review and analyse the events of 2024, it’s only fitting to evaluate these predictions. Did they materialise as anticipated, or were the projections off the mark? Join us as we delve into the developments of the year to assess how reality measured up to expectations.
Did DApps Do it?
At the start of the year, Decentralised Applications (DApps) were predicted to experience significant financial growth. These applications, which operate on blockchain or peer-to-peer networks rather than centralised servers, were expected to revolutionise various industries.
This year, decentralised applications (dApps) have continued to grow in popularity and usage, with AI-powered dApps becoming a leading force in the Web3 space. In the third quarter of 2024, DApps industry saw a 70% increase in usage compared to the previous quarter, with 17.2 million daily Unique Active Wallets (UAWs). AI-powered dApps became the most active category in the DApp space, accounting for 28% of the industry’s activity.The NFT sector also had its best quarter since Q1 2023, with a trading volume of $4 billion from 14.9 million sales.
One of the most groundbreaking advancements of 2024 has been the increasing interoperability between blockchain platforms. Decentralised applications (DApps) that connect ecosystems like Ethereum, Solana, and others are empowering users to seamlessly access the benefits of multiple networks, breaking free from the constraints of isolated blockchains.
It is safe to say that the predicted rise in both the value and importance of Decentralised Applications (DApps) within the blockchain ecosystem has become a reality.
The Growth of Fractional Ownership of High value assets
In 2023 the concept of fractional ownership through tokenisation was still gaining traction, primarily within niche markets like luxury assets (art, collectibles) and select real estate projects. Investor awareness was limited, and platforms were in the early stages of proving their models.
At the start of the year, this column predicted significant growth for the industry, fueled by a surge in investor interest in tokenisation.
In 2024, we saw such expansion significantly in real estate. Tokenised assets now include a wider variety of properties, ranging from commercial spaces to residential apartments, as well as other illiquid assets like fine art and exotic cars. Platforms like Lofty and RealT have seen a notable increase in user base.
Improved regulatory frameworks in multiple jurisdictions have boosted investor confidence. For instance, the US and EU introduced clearer guidelines for tokenised securities, making the process more accessible for institutional and retail investors.
Global expansion has become more evident, with markets in the Middle East (e.g.Dubai) and Latin America actively participating.
The market size has further grown significantly. While the global market for fractional ownership on the blockchain was estimated at under $1 billion in 2023, today, the market value has crossed several billion dollars, supported by rising investor interest and a greater variety of tokenised assets.
Self-Sovereign Identity Market sees financial success as Predicted
The final area highlighted to experience a financial boom was the self-sovereign identity market. The self-sovereign identity (SSI) market, which focuses on secure methods of identity verification for banks, cross-border travel, medical records, and more, is experiencing rapid expansion. Leveraging blockchain technology, SSI is providing tamper-proof systems for verification and tracking, fulfilling predictions about its potential.
Recent data confirms this growth. The global SSI market size surged from USD 951.36 million in 2023 to USD 1.8 billion in 2024, highlighting its rising importance. Increasing concerns over identity theft, deepfake fraud, and cybercrime have driven demand for robust solutions. Governments worldwide have also played a key role, launching initiatives to promote digital identity frameworks. These efforts have not only ensured secure digital identities for public services but also spurred innovation and investment in the field.
As the need for secure, reliable identity systems intensifies, the SSI market is poised to remain a critical player in fostering trust and security in the digital age.
Did 2024 Live Up to Expectations?
Looking back, the blockchain industry rose to the occasion in 2024. The growth of DApps, fractional ownership, and SSI markets proves blockchain continues to meet and often exceed expectations.
This is just part of the story. A comprehensive recap of 2024s achievements and surprises is still to come. For now, the key takeaway is clear: our predictions were on point, and the industry delivered.
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