The year 2022 was a rollercoaster for the Web3 ecosystem—marked by groundbreaking innovations, high-profile collapses, and pivotal moments that shaped the future of decentralized technology. While market downturns tested the resilience of the space, the underlying progress in infrastructure, adoption, and real-world use cases was undeniable. From celebrity NFT drops to protocol-level upgrades, let’s revisit the 12 most defining events of 2022 that continue to influence the trajectory of Web3.
January – Phanta Bear NFT Launches with Star Power
The year kicked off with a bang as Ezek, in collaboration with Jay Chou’s fashion brand PHANTACi, launched Phanta Bear, a collection of 10,000 NFTs. Within just 40 minutes, the entire mint sold out, generating over $62 million in sales volume.
Jay Chou’s massive social media influence fueled FOMO (fear of missing out), propelling Phanta Bear to the top of OpenSea’s art category in trading volume. However, the project quickly lost momentum due to lackluster post-launch utility and poor community engagement.
👉 Discover how celebrity-driven NFTs shape market trends and what makes them sustainable long-term.
Today, Phanta Bear trades at just 3% of its peak value—a stark reminder that hype alone isn’t enough. For NFTs to retain value, they need strong community alignment, ongoing utility, and cultural relevance beyond initial celebrity endorsement.
Core Insight: The rise and fall of Phanta Bear underscored a key lesson—true longevity in NFTs comes from sustained engagement, not just star power.
February – Ukraine Embraces Crypto Donations
As geopolitical tensions escalated, Ukraine made headlines by publicly accepting cryptocurrency donations to support its defense efforts. By early March, the country had received nearly $100 million in crypto, primarily in Bitcoin and Ethereum.
This moment highlighted one of Web3’s most powerful use cases: borderless, transparent, and rapid humanitarian aid. It demonstrated how decentralized finance could bypass traditional banking bottlenecks during crises.
However, controversy followed when platforms like OpenSea restricted access for Russian users, raising ethical questions about decentralization and censorship. If blockchains are meant to be permissionless, should access be denied based on geography?
This duality—freedom vs. control—became a central debate in the Web3 community throughout the year.
March – Ronin Bridge Suffers $600 Million Hack
One of the largest security breaches in blockchain history occurred when hackers exploited five validator nodes in Axie Infinity’s Ronin Network, stealing over $600 million in ETH and USDC.
The attack went undetected for six days, only discovered after a user reported failed withdrawals. The breach exposed critical flaws in cross-chain bridge security—an area that remains a high-risk vector even today.
Axie’s team responded with transparency and recovery plans, including insurance payouts and rebuilding trust through improved audits. Still, the incident shook confidence in sidechain solutions and accelerated demand for more robust security frameworks across DeFi.
Takeaway: As Web3 scales, so do its vulnerabilities. Security must evolve in parallel with innovation.
April – Moonbirds Emerges as a New Blue-Chip NFT
In a market saturated with PFP (profile picture) projects, Moonbirds stood out by combining scarcity, utility, and elite backing. Launched via Dutch auction at 2.5 ETH, it quickly became one of the most traded NFT collections.
What set Moonbirds apart was its “Pass + PFP” model: holding a Moonbirds Pass granted priority mint access to future drops. This created long-term incentive structures beyond mere speculation.
Founded by Kevin Rose, a well-known figure in traditional tech and venture capital, Moonbirds bridged the gap between legacy investors and crypto-native communities. Its success signaled growing institutional interest in NFTs as digital assets with real utility.
👉 See how top-tier NFT projects are redefining digital ownership and community rewards.
May – Yuga Labs Unveils Otherside Metaverse
Yuga Labs, already famous for Bored Ape Yacht Club (BAYC), raised the bar with Otherside, an ambitious metaverse project. The mint triggered a full-scale gas war, with fees spiking to 3 ETH per transaction—a testament to user demand.
With plans for immersive virtual worlds, interactive gameplay, and cross-project integration, Otherside positioned itself as a next-generation metaverse platform rivaling Decentraland and The Sandbox.
Later that year, Yuga also acquired CryptoPunks and Meebits, consolidating its dominance in the NFT space. The move signaled a shift toward centralized control within decentralized ecosystems—a paradox still being debated.
June – NFT.NYC Draws Global Attention
Held in Times Square from June 20–23, NFT.NYC 2022 brought together nearly 15,000 attendees, including artists, developers, investors, and creators. With over 1,500 speakers, it became the largest NFT conference to date.
Compared to its humble beginnings with just 500 participants three years prior, the event reflected exponential growth in mainstream interest. Panels covered everything from intellectual property rights to Web3 gaming and creator economies.
NFT.NYC wasn’t just about business—it was a cultural moment where believers gathered to celebrate progress and envision the future of digital ownership.
July – Collapse of Three Arrows Capital (3AC)
The downfall of Three Arrows Capital (3AC) sent shockwaves across markets. Once managing billions, the Singapore-based hedge fund collapsed after heavy exposure to Terra (LUNA) and unsustainable leverage strategies.
Its bankruptcy filing in July triggered cascading liquidations across lending platforms and eroded trust in centralized crypto lenders. The fallout directly impacted later collapses, including Celsius and Voyager—and eventually FTX.
For retail investors, 3AC served as a cautionary tale: even giants can fall without proper risk management.
“In crypto, assume nothing is too big to fail.”
August – BendDAO Faces Liquidity Crisis
BendDAO, an NFT lending protocol allowing users to borrow ETH against blue-chip NFTs like BAYC, faced severe strain during the bear market. As floor prices plummeted, many loans became undercollateralized.
When the first BAYC was put up for auction and received no bids, panic spread. Users began withdrawing liquidity en masse, risking a death spiral for the protocol.
Though BendDAO survived by adjusting parameters and incentivizing liquidity providers, the episode exposed a critical truth: NFTs lack reliable price oracles and deep liquidity, especially in downturns.
This event emphasized that financial primitives in Web3 must account for volatility and illiquidity—not just theoretical models.
September – Ethereum Completes The Merge
On September 15, 2022, Ethereum successfully transitioned from Proof-of-Work (PoW) to Proof-of-Stake (PoS)—a milestone known as “The Merge.”
This upgrade reduced energy consumption by over 99%, paving the way for future scalability improvements like sharding. It also marked the culmination of eight years of development led by Vitalik Buterin and core contributors.
The Merge wasn’t just technical—it was symbolic. It proved large-scale consensus shifts are possible in decentralized networks. Long-term, it strengthens Ethereum’s position as the leading smart contract platform.
October – Elon Musk Acquires Twitter
Elon Musk’s $44 billion acquisition of Twitter opened new possibilities for SocialFi and decentralized identity (DID). He openly expressed intentions to integrate crypto payments, NFT profile pictures, and creator monetization tools.
With over 400 million users, Twitter has the potential to onboard millions into Web3 overnight. While full decentralization remains distant, early experiments like encrypted DMs and blockchain-based verification are underway.
Many see Twitter as the missing link between mainstream audiences and decentralized social ecosystems.
November – FTX Collapse Shocks the Industry
The implosion of FTX, once valued at $32 billion, marked one of the darkest chapters in crypto history. Triggered by revelations about Alameda Research’s reliance on FTT tokens as collateral, confidence evaporated rapidly.
Binance briefly stepped in before pulling out due to regulatory concerns. On November 11, FTX filed for bankruptcy. Customers lost billions.
The collapse exposed systemic risks: poor governance, lack of transparency, and commingling of funds—issues long warned against by decentralization advocates.
It reinforced a core principle: self-custody matters.
👉 Learn why secure asset management is essential—and how to protect your digital wealth today.
December – Donald Trump Launches Political NFTs
Rounding out the year, former U.S. President Donald Trump entered the NFT space with a collection of 45,000 digital trading cards priced at $99 each. They sold out within 18 hours.
Holders received perks like signed memorabilia and exclusive event invitations. While criticized by some as gimmicky, the move highlighted how NFTs could be used in politics—for fundraising, fan engagement, or even verifiable voting systems in the future.
It also sparked discussion about digital collectibles in public life—a sign that Web3 is seeping into unexpected domains.
Frequently Asked Questions (FAQ)
Q: What was the biggest Web3 event of 2022?
A: The Ethereum Merge stands out as the most impactful event due to its long-term implications for scalability, sustainability, and network security.
Q: Why did Phanta Bear lose value so quickly?
A: Lack of ongoing utility, weak community engagement, and dependence on celebrity hype without sustainable development led to its rapid decline.
Q: How did FTX collapse affect everyday users?
A: Millions lost access to their funds overnight. It emphasized the importance of using self-custody wallets instead of centralized exchanges.
Q: Can NFTs have real-world utility beyond art?
A: Yes—examples include event tickets, membership passes (like Moonbirds), identity verification, and political fundraising (e.g., Trump NFTs).
Q: Is Web3 safer now than in 2022?
A: Security has improved with better auditing tools and awareness, but risks remain—especially around cross-chain bridges and centralized entities.
Q: Will social media platforms fully adopt Web3?
A: Full decentralization is unlikely soon, but features like NFT avatars and token-based rewards (as seen on Twitter) are early steps toward SocialFi integration.
Core Keywords: Web3, NFTs, Ethereum Merge, FTX collapse, Moonbirds, Ronin hack, SocialFi, decentralized identity
While 2022 tested the resilience of Web3 through bear markets and scandals, it also laid foundational advancements that continue to drive innovation forward. The journey isn't over—it's evolving.