The bull market is here, you need to focus on these 10 trends

zk Rollup, Rollup middleware, interoperability, Bitcoin ecosystem…

Written by: Layergg

Compiled by: Luffy, Foresight News

The horn of the bull market has sounded, and 2024 is coming. Which tracks and projects do we need to pay attention to? Listed below are 10 trends and projects worth watching over the next year.

zk Rollup

Before 2022, the debate in the Rollup field mainly focused on which technology has more advantages, Optimistic or zk Rollup.

However, with the reduction of L2 costs after EIP-4844 and the launch of some large-scale projects, the previously quiet L2 war is expected to break out again. The key lies in how L2 can build its ecosystem.

Focus on projects: zkSync, Starknet

Rollup middleware

After EIP-4844 reduces the cost of Rollup, the popularity of Rollup will really begin. This track includes the following subdivisions:

• Rollup as a service
• Shared sorting
• Rollup SDK

There will be hundreds to thousands of AppRollups surrounding several mainstream Rollup projects.

Focus on projects: Gelato Network, AltLayer, Espresso s

Interoperability

As the number of blockchains continues to increase, the need for cross-chain infrastructure will grow exponentially. But they still have some problems:

• high cost
• Hacking incident
• Synthetic assets
• Liquidity is dispersed

Although existing cross-chain bridges have various problems, newly released cross-chain solutions are expected to achieve breakthroughs.

Focus on projects: LayerZero, Wormhole

Parallelize EVM

The advantages of parallelizing EVM are:

• Faster block generation time
• Higher TPS
• Low fees

This technology has been verified through Inscription stress testing and will have strong appeal to DApp developers.

Focus on projects: Sei Network, Neon, Monad

Data availability

The data availability layer is critical to the scalability, security, and efficiency of a blockchain network. Its features and advantages are:

• Improve scalability
• Transparency and easy verification
• Compatible with L2 solutions
• cut costs

As the core of the modular narrative, the DA layer will be adopted by numerous projects.

Focus on projects: Celestia, Avail, EigenLayer

Bitcoin Ecology

The Bitcoin spot ETF is likely to be launched in the first quarter of 2024. Additionally, with the development of Inion (BRC-20), the Bitcoin ecosystem will remain a key area of focus in 2024.

Moreover, efforts to liberate Bitcoin’s $830 billion in liquidity will continue.

Focus on projects: Stack, Babylon

Decentralized Machine Learning

Artificial intelligence will continue to play a central role in the narrative of 2024, and AI computing power will become one of the mainstream areas.

As artificial intelligence continues to develop, the market is expected to increasingly turn its attention to data mining, a fundamental aspect of artificial intelligence technology.

Focus on projects: gensyn, Bittensor

Decentralized social networking

Most SocialFi has yet to gain a large user base. Nonetheless, the friend.tech story is a compelling example of the limitless potential of user-driven social networks.

Follow projects: friend.tech, Lens Protocol, Farcaster

Distributed validator technology

DVT allows multiple nodes to act as one Ethereum PoS validator, thereby increasing security and decentralization. As Vitalik Buterin warned, major staking service providers currently face centralization issues.

The takeaway here is that LSD will continue to be a high-growth industry in the coming years, and in the process it will naturally fuel interest in DVT.

Focus on projects: ssv network, Obol Network, diva

Ethereum re-staking

“Re-staking” refers to the re-purposing of staked Ethereum or other cryptocurrencies on nodes that act as validators for various protocols.

A key point to note here is EigenLayer’s revenue potential.

Ethereum staking annual interest rate (~5%) + Eigenlayer re-staking reward (~10%) + LRT protocol token issuance (~10%) = potential annual interest rate

When Ethereum enters a bull run, there may be more focus on the potential of the re-staking protocol.

Focus on project: EigenLayer