2. March 2024

Crypto Winter: Find Partners & Solutions to Survive

Paxos Report Highlights Opportunities for Projects During Crypto Winter

  • Paxos has recently published a report that looks beyond the crypto winter and how to respond to current market conditions.
  • The report suggests seeking solutions and finding potential partnerships for projects during this time.
  • The report also highlights the importance of partnering with those who are building businesses that implement technologies that meet real-world needs.

Stablecoins: A Consistent Use Case in the Crypto Market

Clara Medalie, director of research at digital asset data provider Kaiko, says that stablecoins represent a crypto use case that has “consistently proven itself over time.” Medalie says that stablecoins have been very useful for the entire industry. According to Medalie, more transparency is needed over the reserves of these stablecoins.

Crypto Winter as an Opportunity for Bridge-Building

The Paxos report highlighted that those who view the crypto winter as a “season for bridge-building” will come out ahead of the others. It’s important to partner with those who are building businesses that implement technologies that aim to meet the “real-world needs of the financial sector.”

United States Regulating Stablecoins to Keep Dollar Strong?

Denelle Dixon, CEO and executive director of Stellar Development Foundation, said dollar stablecoins may be necessary to keep US dollar strong. On the other hand, Bank of International Settlements said in a working paper that stablecoins are less preferable form of tokenized money compared to bearer instruments used during free banking era in United States.

This Paxos report provides an opportunity for enterprises seek partners and solutions during crypto winter by identifying key opportunities like seeking solutions and finding partnerships. Stablecoin use cases have consistently proved themselves over time but need more transparency over their reserves. In order for projects to take advantage of this period, it’s important to partner with those who are implementing technologies aiming at meeting real-world needs as well as considering United States regulating stablecoin usage in order keep US dollar strong.