How was 2022 for the crypto industry and what to expect ahead in 2023?

livemint.com:

It is no doubt that 2022 has been a challenging year for global markets as a result of several worldwide downturns, including war, rising inflation, monetary tightening, and many more, which have put significant pressure on various asset classes, including cryptocurrencies. The government introduced a number of policies to encourage the adoption of cryptocurrency assets in 2022, including a 30% crypto tax and Central Bank Digital Currency (CBDC), which was introduced by the RBI. However, significant events like the collapse of FTX, the bankruptcy of Vauld, and the Terra-Luna crash overheated the cryptocurrency market. At the beginning of 2022, Bitcoin, the most valuable cryptocurrency by market capitalization, was trading at $47,686.81, with a market capitalization of $902,104,193,385. By the end of 2022, on December 30, however, Bitcoin had dropped to $16,602.59, with a market capitalization of $319,559,502,980.

Parth Chaturvedi, Crypto Ecosystem Lead, CoinSwitch said “2022 was a difficult year for the crypto industry globally, as on a macro level, central banks ended a decade of monetary easing, resulting in “risk-on" asset prices tumbling. Crypto, being an emerging asset class, went through major corrections with added downward pressure from black swan events like Terra/LUNA implosion, 3AC and FTX bankruptcy."

“Amidst this global backdrop, the Indian crypto industry faced its own set of unique challenges with the implementation of the new tax laws. More than the 30% capital gains tax, the inability to offset losses and the 1% TDS, made crypto trading difficult on compliant onshore exchanges. The industry witnessed a severe drop in trading volumes and also saw the diversion of funds to risky offshore exchanges," said