MetaPax: does the project create the demand or does the demand create the project?

Most projects fail because they create a product and try to create a demand for it, but MetaPax saw the demand and created a product for it. In this article, we will analyze the current state of the Web 3.0 market and investment patterns and review how it is affected by the lack of project demand.

After a long period of bear market, cryptocurrencies are finally trying to turn around and start an uptrend. Yet, as of March 2023, amidst the success stories, many cryptocurrencies have met their demise. Since the inception of Bitcoin in 2009, thousands of digital currencies have been introduced, each promising unique utility for users.

However, the reality is stark. A significant number of these cryptocurrencies don’t see the light of day post-launch. Estimates suggest that between 1,700 to 2,500 cryptocurrencies have vanished from the market. 90% of them had no demand, to begin with, but even the seemingly established tokens like UST, SQUID, LUNA, and BCC — have eventually failed. The reasons for these failures vary, ranging from insufficient trading volume, and developer abandonment, to malicious activities like hacks and rug pulls. But the reality — it had no demand to begin with.

2023 Web 3.0 project success and funding overview

The crypto world experienced some turmoil in Q1, most notably the unsettling collapse of prominent banks such as Silicon Valley Bank, Silvergate Bank, Signature Bank, and Credit Suisse. The ripple effects of these events on the broader industry are still unfolding. Concurrently, the surge in AI, punctuated by OpenAI’s unveiling of GPT-4, has left an indelible mark on crypto fundraising dynamics. In short — if you are a crypto project — think of how to implement AI.

In a snapshot, according to the Web 3.0 fundraising report made by Metaverse Post, Q1 2023 saw 108 web3 ventures amass an impressive $814,287,823. These startups span various niches: from metaverse and gaming to AI, social platforms, AR, VR, and more. Within this landscape, nine metaverse initiatives garnered $56,301,000, while 25 NFT-centric enterprises secured $79,040,000.

For context, 2022 witnessed 348 specialized companies in domains like NFT, metaverse, gaming, AI, VR, and AR, pooling a staggering $7,164,997,888 — a leap of $4.8 billion from 2021.

Web3 Sector Breakdown:

• Environment: Carbonplace, an environmental trailblazer, secured $45 million from a consortium of nine banks. Meanwhile, GrainChain, an agri-tech platform leveraging blockchain and IoT, raised $29 million.
• Gaming: The gaming sector saw 23 startups amass $201,720,473. CCP Games, creators of the iconic EVE Online, led the charge with a $40 million seed round.
• Metaverse: Avalon Corp., a metaverse-centric gaming studio, raised $13 million, while Createra, a user-generated content engine for the metaverse, secured $10 million.
• Messaging: OP3N, a web3 messaging platform, clinched $28 million, while group chat protocol Towns secured $25.5 million.
• Privacy: Beldex, offering privacy solutions for decentralized apps, secured $25.5 million.
• Wallet: BitKeep, a crypto wallet, raised $30 million, while Kresus, a web3 mobile app and wallet firm, secured $25 million.
• Social Network: Plai Labs and The Easy Company raised $32 million and $14.2 million, respectively.
• Fashion: Digital fashion hub DressX secured $15 million.
• Intelligence: Analytics platform Metrika raised $14 million.
• Security: Sec3, a security solutions provider, raised $10 million.
• Media: StoryCo, a fan engagement platform, raised $6 million.

Emerging Trends:

• AI: The spotlight on AI remains undimmed, with startups leveraging the AI narrative to magnetize funds. In Q1 2023, four AI-driven web3 companies amassed $48,550,000.
• NFT: 17 NFT-centric projects secured $78,040,000, with Superplastic leading with a $20 million round.

Q1 2023 has been a rollercoaster for the web3 domain, marked by banking collapses and the ascendancy of AI. While venture capitalists seem to have cooled off on metaverse projects, the gaming sector continues its robust growth. The NFT space, though not as sizzling as before, continues to innovate and evolve. As the quarter wraps up, the resilience of the web3 sector is evident, with 108 companies amassing a commendable $814,287,823, showcasing the undying spirit of innovation and growth.

Why are the projects failing?

It is clear that while the market is not in full swing, the investors are still using resources to fund promising projects, but the competition and selection process are much stricter than in 2020. Therefore, the projects that don’t meet the already existing demand or solve real problems — eventually fail. As much as it seems to be a negative — this situation filters out incompetent projects that are there to raise money and profit.

Crypto projects are starting to launch useful products, something that will make a difference in the world, as was originally intended in the formative days of Bitcoin and Ether. Crypto projects are gradually ceasing to be a way to make a quick buck and are moving into a more fundamental stage of becoming part of the economy.

MetaPax responds to the demand — not the other way around

In previous articles we’ve discussed thoroughly the rise of wearables and live streaming, the tendency of people to ditch their jobs and follow their passions, and the dawn of the world of AI where a large percentage of people are at risk of losing their jobs. Besides presenting the facts, we’ve been painting the picture of the world of tomorrow where MetaPax fits right in it.

The way we’re building our product and services is responding to the rising consumer demand — and not the other way around. Because we are not after success or fortune — we are here to improve the broken ways of content monetization and make the creators the primary beneficiaries. Our mission is to reduce the gap between the rich and the poor, using the rise of emerging new technologies

*By removing the middleman, cutting the entry requirements, and introducing fair revenue share models powered by blockchain — we open up the creator economy to the world like never before.

*We adopt the latest innovations and respond to the rise of wearable technology by seamlessly integrating it into our platform which actually increases the performance of shooted content significantly through a unique 1st POv and hands-free approach.

*We ride the live-streaming wave right at the top by utilizing it to connect the world through live experiences and skill-sharing.

*Finally, we give the global population a real opportunity to make a living from their passions.

By addressing these crucial moments in consumer needs and evolution — we create responses to the demand and not the other way around. Only this way can the world move forward.

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