This is the 2105th issue of the Plain Language Blockchain.｜Plain Language Blockchain In the past two years, the crypto industry has entered a period that can be called the "integration phase". During this period, the industry has focused more on optimization work rather than "new innovations from scratch". This integration and optimization is mainly reflected in the following three aspects:
1) Infrastructure
2) Application scenarios
3) Top Winners 01 Optimization and Integration Trends of the Crypto Industry in 2024
1) Optimization: Infrastructure in 2024 The maturity of infrastructure means that encryption technology will no longer be a bottleneck for the development of the industry. This achievement is due to the optimization of a large number of technologies rather than a disruptive new architecture. These optimizations may have made the encryption industry ready for the "bull market" for the first time, including:
More block space;
The development tool chain is becoming more and more complete;
User transaction fees are almost zero or even completely waived;
· The complexity of wallet usage is significantly reduced;
The user experience of on-chain applications is gradually comparable to that of Web2 consumer products.
Currently, this infrastructure abstraction, performance improvement, and reliability enhancement is only in its 12th to 18th month. For example, the development of Ethereum L2, the stability improvement of Solana, and the application of wallet abstraction technology in actual production environments have developed, but have not yet reached the optimal level.
2) Integration: Application scenarios and top winners in 2024 Two key application scenarios have gradually matured: speculation and stablecoins. These two scenarios almost run through the entire development process of the crypto industry:
Bitcoin (2009) is the earliest speculative asset in the crypto industry;
Stablecoin is one of the earliest token applications (USDT started in 2014).
Today, these two scenarios have reached a new peak due to the optimization of infrastructure.
Peak Speculation: Memecoins
Memecoins are the epitome of speculation, and now they are extremely easy and cheap to create and trade.
· Seamless connection of stablecoins like Bridge
Such tools make the issuance and trading of stablecoins more efficient than ever before.
3) The strong-get-stronger effect of the top winners. As the industry develops, the past top winners are further consolidating their positions and their advantages continue to expand.
The winners include
· Public chains: Solana and Ethereum; · Wallet: Phantom;
· DEX：Uniswap 和 Raydium。
These platforms have benefited greatly from the growth of stablecoins and speculation, and are able to quickly adapt to market hot spots and speculative games like Memecoins or NFTs.
02The next stage of the crypto industry
As the infrastructure bottleneck gradually fades, the other two major bottlenecks facing the industry are gradually emerging. These two bottlenecks have largely driven the current integration and optimization stage and hindered the industry's further innovation breakthroughs from "zero to one".
1) Bottleneck 1: Infrastructure issues
Infrastructure bottlenecks are gradually being eliminated. Technical optimization rather than breakthrough architectural innovation has brought significant progress to the industry. Today, blockchains have ample block space available, tools are maturing, transaction fees are close to zero, wallets are easier to use, and there are applications on the chain that rival the consumer experience of Web2.
2) Bottleneck 2: Hostile and uncertain regulatory environment
The second bottleneck to be addressed is the unfriendly and uncertain regulatory environment.
However, this problem seems to be gradually being alleviated. With Trump's coming to power, the crypto industry is expected to usher in clearer regulatory rules in the United States, eliminate bad projects, and help positive participants in the industry grow and develop. With the improvement of infrastructure performance and the clearer regulatory environment, the industry is about to break through the third bottleneck - the talent problem.
3) Bottleneck 3: Talent shortage
Since 2022, the number of new talents entering the crypto industry has been at a bottleneck. This is understandable, as negative news and an uncertain regulatory environment pose huge personal risks to founders. However, the lack of new talent has directly led to the stagnation of innovation in the industry from scratch.
I believe this trend will begin to reverse next year, through two steps:
A. Leaders in the consolidation phase will continue to expand their advantages. The success of these leading projects may exceed everyone's expectations. For example, Polymarket has proved this in this election cycle, and there will be more similar cases in the future. As on-chain applications are gradually accepted by the mainstream (whether consumers or institutions), we will see: · Startups will go public one after another; · More projects will issue tokens; · Society's expectations of the influence of the crypto industry will be readjusted. This is the first step to motivate a new generation of developers to gain a deeper understanding of the crypto industry. Only by attracting more new blood can the industry usher in the next round of real breakthroughs.
B. A new generation of entrepreneurs will redefine the industry based on first principles. These new entrepreneurs will no longer be limited by traditional infrastructure and outdated concepts. They will conduct innovative experiments based on clear rules and around the core of "ownership" to bring new products and experiences to users.
03Future Outlook:
Finding stability through verification Although the crypto industry is still full of volatility, with the arrival of new rules, new talents and new ideas, we hope that in the next five years,
We can know for sure if the crypto industry can move beyond speculation and stablecoins and bring more real value. "Ownership" may become a core element of new products and networks, which will achieve faster growth by establishing deep connections with users through economic incentives. Verification through breakthrough applications will become an important way to reduce long-term volatility.
The crypto market is still worth looking forward to in 2025. As Bitcoin continues to break new highs, which track will be the first to explode and take over the bull market in 2025? You are welcome to vote for the track you are optimistic about:#BabyMarvinf9c7您拥有您值得 
