Covering multiple fields such as stablecoins, app stores, decentralized governance, etc.
Article author and source: a16zcrypto
Article compiled by: BlockBeats
Some trends we are focusing on.
a16z released a comprehensive list of 'major ideas' for the upcoming year based on observations from its partners in fields such as AI, American vitality, life sciences/health, cryptocurrency, enterprise services, fintech, gaming, and infrastructure, aiming to inspire tech builders.
Here are some important ideas shared by members of cryptocurrency teams, and for more exciting content, please read the full article.
For insights on policies, regulations, and more for 2025, please refer to the article released in November.
Companies will increasingly accept stablecoin payments.
Over the past year, stablecoins have found their product-market fit—this is not surprising, as stablecoins are currently the lowest-cost way to send dollars, enabling rapid global payments. Additionally, stablecoins have provided entrepreneurs with a more convenient platform to develop new payment products: no intermediaries, no minimum balance requirements, or proprietary SDKs. However, large enterprises have yet to realize the massive cost savings and new profit opportunities that switching to these payment rails could bring.
While we have seen some companies show interest in stablecoins (and early applications in peer-to-peer payments), I expect a wave of larger experiments to occur in 2025. Small to medium-sized enterprises (such as restaurants, cafes, and convenience stores) with strong brand influence, loyal customer bases, and high payment costs may lead the shift from credit cards to stablecoin payments. These businesses do not benefit from the fraud protection of credit cards (especially in face-to-face transactions), and the high transaction fees significantly impact their profits (a 30-cent fee per cup of coffee is substantial in terms of profit loss).
We should also expect larger-scale enterprises to begin adopting stablecoins. If stablecoins can accelerate the evolution of banking history, then companies will seek to disintermediate payment service providers—adding 2% of profits directly to their bottom line. Furthermore, businesses will start looking for new solutions to address issues currently tackled by credit card companies, such as fraud protection and authentication.
—Sam Broner (X platform @sambroner | Farcaster platform @sambroner)
Countries explore putting government bonds on-chain.
On-chain government bonds will create a government-backed, interest-bearing digital asset while avoiding the regulatory privacy issues brought by Central Bank Digital Currencies (CBDCs). Such products could provide new collateral demand sources for lending and derivatives protocols in DeFi (Decentralized Finance), thus adding more stability and credibility to these ecosystems.
As governments worldwide further explore the advantages and efficiencies of public, permissionless, and tamper-proof blockchains this year, some countries may pilot the issuance of on-chain government bonds. For example, the UK is exploring digital securities through its FCA (Financial Conduct Authority) sandbox project; the UK Treasury has also expressed intentions to issue digital bonds.
In the United States, due to the SEC's (Securities and Exchange Commission) plans to require traditional cumbersome and costly infrastructure to clear government bonds next year, more discussions are expected around how blockchain can enhance the transparency, efficiency, and participation in bond trading.
—Brian Quintenz (X platform @brianquintenz | Farcaster platform @brianq)
"DUNA" will become the new industry standard for blockchain networks in the United States.
In 2024, Wyoming passed a new law officially recognizing DAOs (Decentralized Autonomous Organizations) as legal entities. DUNA (i.e., 'Decentralized Unincorporated Nonprofit Association') is specifically designed to support decentralized governance of blockchain networks and is currently the only viable legal framework for projects in the US. By incorporating DUNA into decentralized legal entity structures, crypto projects and other decentralized communities can give legal status to their DAOs—thus facilitating broader economic activities while protecting token holders from legal liabilities and properly addressing tax and compliance needs.
DAOs, as communities governing open blockchain network affairs, are vital tools for ensuring that networks remain open and fair while avoiding unreasonable value extraction. DUNA can unlock the potential of DAOs, and several projects are already pushing for its implementation. As the US further supports and accelerates the development of its crypto ecosystem in 2025, I expect DUNA to become the industry standard for crypto projects in the US. Moreover, other states may follow suit, adopting similar structures (Wyoming is leading this trend; they were also the first to adopt the LLC structure widely used today)—especially with the rise of other decentralized applications outside the crypto realm (like physical infrastructure/energy grids).
—Miles Jennings (X platform @milesjennings | Farcaster platform @milesjennings)
Developers will reuse infrastructure more rather than reinventing it.
Over the past year, teams have been constantly 'reinventing the wheel' in the blockchain technology stack—developing yet another set of custom validator sets, consensus protocol implementations, execution engines, programming languages, and RPC APIs. These attempts may have slight improvements in certain specific functions, but often underperform in broader or foundational functionalities. Take the programming language designed specifically for SNARKs: ideally, this language could help top developers build more optimized SNARKs, but in practice, it may lag behind general-purpose programming languages in areas like compiler optimization, development tools, online learning resources, and AI programming support (at least for now), and may even lead to poor SNARK performance.
Therefore, I expect that in 2025, more teams will leverage existing results and reuse off-the-shelf blockchain infrastructure components—from consensus protocols and existing staked capital to proof systems. This approach not only helps developers save a significant amount of time and effort but also allows them to focus on creating unique value for their products or services.
Today, the infrastructure needed to develop mass-market Web3 products and services is mostly in place. Like other industries, the teams that ultimately succeed will be those that can effectively leverage complex supply chains rather than those that mock 'non-homegrown' technologies.
—Joachim Neu (X platform @jneu_net)
The crypto industry welcomes dedicated app stores and content discovery channels.
When crypto applications are blocked by centralized platforms like the Apple App Store or Google Play, their user acquisition channels become limited. However, we now see some emerging app stores and marketplaces offering distribution and content discovery features without stringent reviews. For example, Worldcoin's World App marketplace not only stores verification information but also provides access to 'mini-apps', bringing hundreds of thousands of users to multiple applications in just a few days. Another example is the zero-fee dApp Store exclusive to Solana mobile users. These cases also indicate that not just software, but hardware (such as phones or verification devices) could become a key advantage for crypto app stores, just as Apple devices once propelled the early application ecosystem.
At the same time, there are other stores containing thousands of decentralized applications and Web3 development tools (such as Alchemy), as well as blockchains serving as game publishers and distribution platforms (like Ronin). But this is not entirely an entertainment-focused ecosystem: if a product already has established distribution channels (such as messaging apps), migrating it onto the chain is not easy (the exception being the Telegram/TON network). This also applies to applications with significant distribution advantages in the Web2 ecosystem. However, 2025 may see more of such migrations.
—Maggie Hsu (X platform @meigga | Farcaster platform @maggiehsu)
From holders to users: the transformation of crypto users.
In 2024, significant progress was made in the political realm of crypto, with many key policymakers and political figures expressing positive views on it. At the same time, crypto as a financial movement continues to develop (for example, Bitcoin and Ethereum ETP have broadened investor participation channels). By 2025, crypto is expected to further evolve into a movement of computational technology. But where will the next user base come from?
I believe it is time to reactivate those currently 'passive' holders of crypto assets and convert them into more active users. Currently, only 5-10% of crypto asset holders are actively using crypto technology. We can bring the 617 million people who already hold crypto assets onto the chain, especially as blockchain infrastructure continues to improve and user transaction costs decrease. This means new applications will gradually emerge for existing and new users. At the same time, some of the early applications we have already seen—covering stablecoins, DeFi, NFTs, gaming, social, DePIN, DAOs, and prediction markets—are also becoming more accessible to mainstream users as the community increasingly focuses on user experience and other optimizations.
—Daren Matsuoka (X platform @darenmatsuoka | Farcaster platform)
'Hiding technical details' aids the emergence of killer applications in Web3.
The technological advantages of the blockchain industry make it unique but also hinder mainstream user acceptance to some extent. For creators and fans, blockchain technology brings new possibilities for connectivity, ownership, and monetization... However, the industry jargon (such as 'NFTs', 'zkRollups', etc.) and complex designs have become barriers for those who could benefit the most. I have experienced this deeply in countless conversations with executives in media, music, and fashion about Web3.
The large-scale popularization of many consumer technologies has followed a similar path: technology comes first, followed by a landmark company or designer abstracting complexity, leading to breakthrough applications. Think back to the development of email—SMTP protocols were hidden behind the 'send' button; or credit cards, most users today don't care about the payment trails behind them. Similarly, the music revolution of Spotify wasn't achieved by showcasing file formats but by delivering playlists directly to users' fingertips. As Nassim Taleb said, 'Over-engineering leads to fragility, while simplicity is scalable.'
Therefore, I believe that by 2025 our industry will adopt the concept of 'hiding technical details'. The best decentralized applications have begun to focus on more intuitive interface design, making operations as simple as clicking a screen or swiping a card. In 2025, we will see more companies dedicated to clean design and clear communication; successful products do not need explanations; they directly solve problems.
—Chris Lyons (X platform @chrislyons | Farcaster platform)
Six major trends in decentralized governance by 2025.
2025 will be an exciting year for decentralized governance. Decentralized Autonomous Organizations (DAOs) are continually breaking through innovations, exploring new models for joint governance by anonymous token holders. Investment management companies are striving to persuade clients to participate in online shareholder voting more frequently. At the same time, AI companies are beginning to use citizen assemblies to set norms for large language models (LLMs). These efforts will catalyze multiple decentralized governance experiments simultaneously, including:
1. Websites to help voters delegate their votes;
2. AI-assisted delegation mechanisms;
3. AI as an agent;
4. Smarter participation incentive mechanisms;
5. More efficient funding support for public goods;
6. More experiments with lottery governance.