The Crypto Assets industry is expected to gain mainstream recognition again in 2025.

With the regulatory environment becoming increasingly clear and the valuation of Crypto Assets rising, the global Crypto Assets industry is expected to gain mainstream and institutional favor again by 2025.

In 2024, a historic high was reached, with the Bitcoin price peaking at $108,300 on December 17, occurring more than a month after the announcement of the U.S. presidential election results. The optimism among Crypto Assets investors is continuing to rise.

Industry experts point out that due to people's clearer expectations of new government regulatory policies, the Crypto Assets industry may welcome another milestone year. This includes broader institutional adoption and a record number of global Crypto Assets investors.

Regulatory clarity will drive record numbers of Crypto Assets investors.

In 2024, the crypto industry experienced significant regulatory progress in several major jurisdictions.

In Europe, the world's first comprehensive Crypto Assets regulatory framework, the Markets in Crypto Assets Regulation ( MiCA ), came into full effect on December 30, providing comprehensive guidance for crypto service providers.

In Asia, Singapore is emerging as a new crypto center with its "risk-adjusted" regulatory approach. This policy has helped the country double the number of digital asset licenses issued annually by 2024.

For a country with a population of less than 6 million, Singapore boasts 1,600 blockchain patents, 2,433 industry-related job positions, and 81 Crypto Assets exchanges, which are impressive figures.

The CEO of a data analysis company stated that these global regulatory developments will attract more retail and institutional investors to participate. He pointed out: "We expect the adoption rate of institutional and retail investors to increase next year, especially as these regulations bring greater transparency to the industry."

He added that these new regulations will also enhance industry trust, market integrity, and consumer protection, "this will make the industry more attractive to retail investors."

He believes that regulatory transparency will lead to a record high in the daily number of Crypto Assets users and stimulate the growth of institutional products such as the exchange-traded fund (ETF).

According to Triple-A's 2024 Crypto Assets Ownership Report, as of July 12, it is estimated that there are 560 million Crypto Assets holders worldwide, accounting for 6.8% of the global population.

The CEO of a certain crypto payment company stated that, based on the current user growth trend, the number of crypto asset holders may double in the next two years.

He pointed out in a panel discussion at the 2024 NFT conference: "This will drive broader adoption across various sectors as well as in payments."

ETF and Government Bitcoin Reserve Plans Will Drive Institutional Adoption

The US spot Bitcoin exchange-traded fund has brought more institutional participation by making it easier for traditional financial institutions to gain access to Bitcoin investments.

The Bitcoin ETF has approached a scale of 110 billion dollars in less than a year since its launch, supporting analysts' prediction that the peak of the Bitcoin cycle will reach 200,000 dollars in 2025.

The CEO of a data analytics company stated that this trend will pave the way for institutions to increasingly adopt Bitcoin as an asset class: "This is likely to translate into sustained institutional interest, as well as efforts by financial institutions and Crypto Assets companies to build the infrastructure and resilience needed to support investor demand."

As an important symbol of Bitcoin's popularity, the status of Bitcoin as a savings technology is increasingly rising in the United States, thanks to the "Bitcoin Act" advocated by Wyoming Senator Cynthia Lummis, which proposes the establishment of a strategic Bitcoin reserve.

A co-founder and CEO of a certain Crypto Assets company stated that the Bitcoin reserve proposal is gaining strong support due to the newly elected president of the United States winning the 2024 election in November and the Republican Party holding a majority in the Senate.

The CEO of a well-known crypto assets company, one of the most famous cryptographers in the industry, stated that if the "Bitcoin Bill" is accepted by American lawmakers, the price of Bitcoin could eventually exceed $1 million.

The adoption of Crypto Assets in low-income countries is expected to continue growing

According to the "Crypto Assets Geography Report" released by a data analysis company in October 2024, crypto assets activity increased and reached the peak of the 2021 bull market.

The report states that the global index measuring the total value of global Crypto Assets activity rose to a new high of over 0.75 in the first quarter of 2024.

The report added that while the adoption of Crypto Assets in 2023 was primarily driven by middle and low-income countries, the peak in 2024 is attributed to an increase in crypto activity across countries of all income levels, while high-income countries saw a decline in crypto activity at the beginning of 2024.

A senior executive of a data analysis company pointed out that the increase in global activity is mainly attributed to the growing use cases of stablecoins in the real world and the debut of the Bitcoin ETF in the United States.

"There are many factors driving this trend, from the U.S. launching a Bitcoin ETF to stablecoins supporting the use cases in the real world for low-income and middle-income countries, as well as a significant increase in DeFi activities in Sub-Saharan Africa, Latin America, and Eastern Europe."

Countries like India, Nigeria, and Indonesia are leading in adoption among lower-middle-income countries, with India ranking first in the global Crypto Assets adoption index.

In Latin America, El Salvador adopted Bitcoin as legal tender on September 7, 2021, which brought over 31 million dollars in profits to the country in the first three years.

Despite making a profit of $31 million, President Nayib Bukele's decision has faced widespread criticism after Bitcoin fell from its all-time high of $69,000 in November 2021 following the collapse of a certain exchange. During the bear market, after Bitcoin dropped to $16,000, El Salvador's Bitcoin holdings saw a significant decline.

A certain intergovernmental blockchain expert stated that El Salvador's decision to adopt Bitcoin is an important step in the increasing integration of Bitcoin into the global financial system.

He believes that similar government initiatives could encourage other countries to adopt Bitcoin: "As more and more countries consider this path, we may see a gradual redefinition of 'safe' reserve assets. If Bitcoin becomes the primary currency of national reserves, it could fundamentally change the global financial landscape and promote more decentralized and digital approaches to economic stability."

Data shows that over the past year, Bitcoin has risen by more than 131%, while the price of gold has increased by approximately 30%.

Crypto Assets investors remain highly optimistic about 2025, especially on January 6, just two weeks before the inauguration of the newly elected president, after Bitcoin broke through $100,000 again — this is seen as a potential catalyst for Crypto Assets prices due to clearer regulations.

The rise of Bitcoin in 2025 is expected to attract more investors' attention to the Crypto Assets industry, with price predictions ranging from $160,000 to over $180,000.