HTX, a digital asset exchange, released their 2025 crypto outlook, reflecting on the key developments in 2024 and highlighting developments to watch in 2025.
The report, titled ‘HTX 2024 Global Web3 Blockchain Ecosystem Review and 2025 Outlook’, offers insights into the developments of the crypto industry and an outlook on Trump’s impact on crypto policy.
It highlights five key sectors that made notable progress in the past year and will remain a focus for HTX in 2025:
- Bitcoin Ecosystem: Bitcoin's market share grew in 2024, cementing its role as the core asset, with spot ETFs providing liquidity and U.S. companies such as MicroStrategy (MSTR) absorbing dollar liquidity. Further developing Bitcoin's ecosystem and improving capital utilisation efficiency is therefore key, with strong macro market and infrastructure support signaling a continued surge in demand for Bitcoin over the next two years.
- Infrastructure: The combination of capital and technology has fueled rapid development of Layer 1, Layer 2, and middleware projects. Layer 1 solutions have become a central focus of technical development and exploration within the crypto space, and are expected to remain a priority for development resources and capital investment moving forward.
- Meme Coins: As the crypto market environment grows increasingly favorable, more retail investors are expected to enter the market, positioning Meme projects as vital channels for capital inflows.
- AI: AI agents will gradually become personal assistants for users, serving them with comprehensive capabilities and possibly developing unique cultures and religions over time. This deep integration of AI and encryption technology marks a revolutionary evolution that cannot be achieved by Web2, or Web3 relying solely on encryption technology.
- TON Ecosystem: The TON ecosystem achieved significant milestones in various fields, due to Telegram's hundreds of millions of users and robust technical support, leading the monetisation of Web2 social applications through crypto. Looking ahead to 2025, it must explore new business models to enhance user retention and identify growth opportunities.
The report states that, as Trump is about to take office, key legislation is likely to pass quicker. Two bills specifically are highlighted, the FIT21 Act and the Bitcoin Strategic Reserve Act.
The FIT21 Act aims to create a clear legal framework for token issuance and trading, to help standardise and promote the healthy growth of the entire industry.
The Bitcoin Strategic Reserve Act could mark Bitcoin's transition from a niche asset to a nationally recognised reserve asset, whilst prompting other countries to adopt similar measures. Trump is in a strong position to advance this bill, while several US states have already proposed their own Bitcoin Strategic Reserve bills.
Lastly, the report highlights that the SAB121 Act is also likely to be repealed under Trump, enabling traditional financial institutions to hold cryptocurrencies on their balance sheets, which would accelerate the institutional adoption of crypto assets and support the maturity of the market. Additionally, the SEC may ease the Howey Test criteria, raising the chances of more spot crypto ETFs being approved and increasing the number of public crypto company listings.