The adoption of Bitcoin at the national level will drive cryptocurrency growth by 2025: Fidelity Digital Assets

Research analyst Matt Hogan of Fidelity Digital Assets stated that the lack of Bitcoin allocation could pose more risks to countries than allocation itself.

Fidelity Digital Assets indicated in its latest research report that countries are expected to incorporate Bitcoin into their national strategic reserves by 2025, driving significant growth in the cryptocurrency market.

Research analyst Matt Hogan of Fidelity Digital Assets stated in the company's January 7 report titled '2025 Look Ahead' that: 'We anticipate that many countries, central banks, sovereign wealth funds, and government treasuries will seek to establish a strategic position in Bitcoin.'

He added that these entities may take note of the strategy that Bhutan and El Salvador have adopted 'and the significant profits they could reap from such positions in a relatively short period of time.'

He mentioned that not producing any Bitcoin could become a greater risk for countries compared to allocation due to challenges such as rising inflation, currency depreciation, and increasingly severe financial deficits.

If the United States continues its strategic Bitcoin reserve plans, "it is highly likely that countries will begin to accumulate in secret," Hogan said. "No country has an incentive to announce these plans, as doing so could affect more buyers and drive prices up." #BTC