GM Vietnam 2024 Recap: Which Narratives Will Take Over the Vietnam Web3 Market?
Insights from GM Vietnam 2024
TL;DR
With more than 12,000 participants and over 500 crypto projects/companies all over the world, GM Vietnam has made a statement that Vietnam remains one of the top markets in crypto.
With a lot of mentioned during the main event and side events, BTC L2 is the newest and will most likely become the leading trend for the rest of the year.
GameFi and NFT still show a strong presence in the crypto market, while RWA and DePIN might become a gateway that connects the government/large institution to the blockchain.
1. Introduction
There is no need to talk about the state of the Vietnamese market. With all the positive indexes related to crypto adoption and ownership, Vietnam has become the number one market in Southeast Asia. Hundreds of crypto-related events have been hosted to showcase the potential of the Vietnamese market. From hackathons to NFT meet-ups, these events have enhanced the image of Vietnam to foreign projects. Furthermore, trendsetters like CZ or Vitalik have already visited and shown interest in such a dynamic market. GM Vietnam was the first event to utilize the Vietnamese market in terms of hosting a large-scale event hosted by Kyros Ventures.
First introduced in 2023, GM Vietnam this year has over 10,000 participants, 120 speakers, and over 500 projects and crypto companies worldwide. This year, GM Vietnam was hosted in a bullish market with many ongoing narratives. A wide range of speakers such as CEOs from Wintermute, Nansen, and Tether have stated that the Vietnamese market is huge and full of opportunities. Throughout two days of main events and a dozen side events, we found the following narratives will mostly dominate the Vietnam market throughout the rest of 2024.
2. Narratives in GM Vietnam 2024
2.1. BTC L2 ecosystem
In the context of finding out how to expand the Bitcoin ecosystem, the terms of Bitcoin Layer 2 were introduced. Similar to Layer 2 on Ethereum, their main purpose is to solve the scalability problem for Bitcoin.
At GM Vietnam this year, several booths and panel talks focused on BTC L2 projects. LayerEdge, a Gold Sponsor, had one of the largest booths, rivaled only by those from major CEXs. During their panel discussions, it became evident that BTC L2 will be a significant narrative for 2024 and 2025. Numerous side events also centered around BTC L2 as a primary topic.
At "The Future of BTCFi" events, LayerEdge and Avail, a modular blockchain project, emphasized the importance of building infrastructure for Bitcoin. The mission of L2 solutions is scalability, and BTC L2 is no exception.
Bitcoin has always been the market leader, and BTC L2 is poised to follow as a top narrative. With Bitcoin ETFs being approved in many countries, it is clear that Bitcoin remains the hottest keyword in the industry. Interestingly, Western influencers have not extensively discussed BTC L2. However, as BTC L2 is a relatively new entrant to the market, there is significant room for development and improvement. As noted in our previous report, Vietnam has a robust pool of developers, making it an ideal location for the development of BTC L2 projects.
2.2. GameFi
Back in 2021, Axie Infinity significantly elevated Vietnam's presence in the GameFi sector. Since then, there has not been a GameFi project that could surpass the influence of Axie. However, the importance of GameFi to the Vietnam web3 market is undeniable.
The GM Vietnam 2024 main conference also featured numerous booths showcasing GameFi-related projects, along with various side events. Key discussion points included issues such as unhealthy in-game economies, poor game experiences, and misaligned token economies compared to the previous GameFi cycle. While the anticipated "new wave" to address these problems has yet to arrive, the consensus was that game projects are increasingly incorporating new technologies into gameplay to enhance the user experience.
The discussion around GameFi persists for two primary reasons: its appeal to both retail and institutional audiences. From the retail side, GameFi is appealing because it allows players to earn rewards while gaming. From the institutional perspective, GameFi serves as a prominent method for massively onboarding non-crypto audiences, making it an indispensable part of the ecosystem. Historically, projects like Axie Infinity and StepN (run-to-earn) have successfully attracted a substantial number of non-crypto users. Introducing a game is significantly easier and more engaging than explaining complex DeFi projects, which contributes to GameFi's widespread adoption.
We were also able to identify new trends in Vietnam. In addition to the current mobile games that dominate the GameFi ecosystem, tap-to-earn and click-to-earn games on the TON platform, which hosted a side event at GM Vietnam 2024, are emerging as a new trend in the gaming industry. This trend has propelled TON to rapid popularity in Vietnam, underscoring its pivotal role in shaping the future of the GameFi market.
We also identified new trends in Vietnam. In addition to the current mobile games that dominate the GameFi ecosystem, tap-to-earn and click-to-earn games on the TON platform, which hosted a side event at GM Vietnam 2024, are emerging as a significant trend in the gaming industry. This development has propelled TON to rapid popularity in Vietnam, showcasing its pivotal role in shaping the future of the GameFi market.
2.3. RWA(Real World Assets)
Keywords like RWA are familiar for degens as the first half of 2024 was shaped within these trends. After GM Vietnam, these keywords will likely continue to mark their place for the rest of 2024.
As mentioned during the discussion, RWA is especially crucial as it serves as a gateway to connect the crypto industry with traditional industries. Additionally, RWA has the potential to become a trend that benefits governments and changes their perception of blockchain. The speakers also emphasized the importance of integrating RWA into DeFi. According to a report by Galaxy, the integration of RWAs on-chain allows users to benefit from competitive real-world interest rates when they surpass crypto-native yields, and conversely, take advantage of more attractive on-chain rates when they offer better returns.
During the IPs & RWA side event, many industry heavyweights agreed that numerous aspects of the traditional market have not yet been exposed to blockchain technology. This presents a significant opportunity for RWA projects to explore and innovate within these unexposed industries. The Vietnamese market, in particular, needs projects that can introduce breakthrough technology and guide the government toward tokenization. However, the absence of proper regulatory frameworks remains the biggest concern at this time.
2.4. DePIN(Decentralized Physical Infrastructure Network)
Unlike RWA, which was the main keyword in the first half of the year, DePIN did not receive much attention at GM Vietnam. However, two or three side events were organized around the theme of DePIN. Experts and DePIN enthusiasts hope that DePIN will become a trend, but they also acknowledge that DePIN projects require substantial resources and advanced technology. Currently, there are no completed DePIN projects in Vietnam, with most still in the R&D stage.
As with RWA, the institutional community views DePIN as a channel for collaboration with governments and other large, established companies. However, the advanced technology and complexity required by DePIN projects pose significant challenges for practical application by ordinary users.
In summary, DePIN has the potential to drive industrial innovation and integrate blockchain technology into the real economy, but it is still in its infancy. For the DePIN ecosystem to mature, active support and investment from both the government and enterprises are essential. To secure a leading position in the DePIN space, Vietnam will need to focus on building a strong institutional foundation in addition to fostering technological innovation.
3. Conclusion
GM Vietnam 2024 reaffirmed that Vietnam is a fast-growing Web3 market and that it is urgently in need of institutional support. The high participation rate shows the enthusiasm and readiness among both local and international stakeholders to drive and adapt to innovations within this space.
Furthermore, Vietnam's role in the global GameFi market continues to evolve, leveraging a community eager to embrace new technologies. The introduction of BTC L2 solutions heralds a new era for Bitcoin's scalability and utility, suggesting a future where Vietnam could play a pivotal role in the adoption and development of these technologies. Additionally, discussions around RWA and DePIN indicate a growing interest in integrating blockchain with traditional industries, aiming to revolutionize the financial landscape but also infrastructure and real-world asset management.
As 2024 progresses, the narratives from GM Vietnam suggest a direction that not only fuels technological innovation but also fosters a regulatory and developmental environment for growth. With the support of local and international players, Vietnam confidently remains at the forefront of the crypto revolution, making significant strides in defining the shape of the next wave of blockchain and crypto adoption.
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