After a tumultuous 2024 with the launch of ETFs and Wall Street delving deeper into blockchain, the cryptocurrency industry is gearing up for an eventful 2025. Seven leading cryptocurrency executives are contemplating what lies ahead, from the revival of DeFi to regulatory changes and adoption in emerging markets.
Michael Harvey, head of trading at Galaxy Digital, predicts that decentralized finance (DeFi) will see a strong resurgence. After explosive growth in 2020 and subsequent dormancy, DeFi is now attracting attention with improved regulations and user experiences. Next-generation protocols like Spark and Ethena are also on the way, as are key players like Uniswap, Aave, and Compound.
Harvey notes the increasing dominance of Solana, mentioning that decentralized exchange (DEX) trading volumes often surpass Ethereum. Bitcoin is also riding the DeFi wave, with efforts underway to leverage its security for programmable use cases, including Ordinals and the expanding BTCFi ecosystem.
Amar Kuchinad, Global CEO of Copper.co, predicts that 2025 will be a key year for traditional financial institutions experimenting with blockchain. He anticipates an increase in fragmented asset baskets such as tokenized government bond funds like BlackRock's BUIDL.
Kuchinad predicts that public blockchain will evolve from real-time consensus layers into periodic payment systems, while private and hybrid chains will handle daily operations. These changes could lead to faster payments, reduced risks, and increased capital efficiency.
With Donald Trump in office, VALR's CMO Ben Caselin expects countries to increasingly embrace Bitcoin as a strategic reserve asset despite resistance. However, Caselin warns of an impending collapse due to speculative token releases, likening it to reckless central bank money printing.
Caselin also sees regional consolidation, with licensed national and continental exchanges leading in emerging markets, while unregulated global exchanges may decline.
Morgan Krupetsky, Director of Enterprise Markets and Capital at Ava Labs, predicts the rise of tokenized equities, fixed income securities, and other assets as businesses seek more efficient and transparent financial tools. He believes that regulatory changes like the repeal of SAB 121 could empower banks to adopt public blockchain infrastructure.
Krupetsky also predicts that traditional companies will blur the lines between traditional finance and digital finance by integrating blockchain technology, especially in payments and supply chain management.
Norris Wang, co-founder of Balance.fun, predicts that the stablecoin market will exceed $250 billion by the end of 2025, occurring as stablecoins are recognized by regulators as hybrid instruments. Wang expects a balance between strict regulations for domestic stablecoins and pragmatic policies for offshore instruments.
Wang also noted that the innovation of DeFi is accelerating, the deeper integration between DeFi and financial technology, along with the rise of cryptocurrency talents in the United States, reinforcing New York's role as a global cryptocurrency hub.
Plume's CEO Chris Yin has noted the increasing intersection between AI and cryptocurrency, stating that AI agents are driving new use cases, and he hopes that real assets like tokenized real estate and stablecoins will remain central to the cryptocurrency space and attract institutional adopters.
Mohammad Raafi, CEO and co-founder of Fasset, points to high-growth markets like Indonesia and Pakistan as driving forces behind cryptocurrency adoption. Tokenized real estate and decentralized financial solutions are enabling global real estate investment and financial inclusion in areas with limited access to banking.
Raafi notes that more than 60% of new cryptocurrency wallets in 2024 will be created in emerging markets, and this trend is expected to increase in 2025.
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