a16z: 7 major trends in cryptocurrency adoption in 2025

Compiled by : Wu Shuo Blockchain

Some trends we’re watching

a16z has published a list of "big ideas" that technology builders may tackle in the coming year, covering partner insights in AI, US dynamics, bio/health, crypto, enterprise, fintech, gaming and infrastructure.

Here are some of the key points made by some members of the crypto team. For more exciting content, read the full article. You can also review previous years’ ideas here and here .

For policy, regulatory and other outlooks to 2025, check out this November article:

https://a16zcrypto.com/posts/article/what-the-election-means-crypto/

1. Businesses will increasingly accept stablecoins as payment methods

Stablecoins have found product-market fit over the past year—not surprising, as they are the cheapest way to send dollars, enabling fast global payments. Stablecoins also provide a more accessible platform for entrepreneurs to build new payment products: no gatekeepers, minimum balances, or proprietary SDKs required. However, large businesses have yet to realize the significant cost savings and new profits that can be achieved by switching to these payment rails.

While we are seeing some corporate interest in stablecoins (and early adoption in peer-to-peer payments), I expect a larger wave of experimentation in 2025. Small/medium-sized businesses (such as restaurants, coffee shops, convenience stores) with strong brands, dedicated audiences and obvious payment cost pain points will be the first to switch from credit cards. For in-person transactions, these businesses do not benefit from credit card fraud protection, and the loss of transaction fees is particularly severe for them (the loss of 30 cents per cup of coffee significantly affects profits).

We should also expect larger businesses to adopt stablecoins. If stablecoins do indeed fast-track the history of banking, businesses will try to bypass payment providers and simply add 2% to their profit margins. Businesses will also start looking for new solutions to problems that credit card companies currently address, such as fraud protection and identity verification. —Sam Broner (X: @sambroner | Farcaster: @sambroner)

2. Countries are exploring putting government bonds on the blockchain

Putting government bonds on the blockchain could create a government-backed, interest-bearing digital asset — without having to worry about the surveillance issues of a CBDC (central bank digital currency). These products can unlock new sources of demand for the use of collateral in DeFi (decentralized finance) lending and derivatives protocols, further enhancing the integrity and reliability of these ecosystems.

As pro-innovation governments around the world further explore the benefits and efficiencies of public, permissionless and irreversible blockchains this year, some countries may experiment with issuing on-chain government bonds. For example, the UK has explored digital securities through the sandbox of its financial regulator FCA (Financial Conduct Authority); its Treasury/Finance Minister has also expressed interest in issuing digital bonds.

In the U.S. — given that the SEC will require Treasury securities to be cleared next year through traditional, cumbersome and costly infrastructure — expect to see more discussion about how blockchain can improve transparency, efficiency and participation in bond trading. —Brian Quintenz (X: @brianquintenz | Farcaster: @brianq)

3. We will see wider adoption of DUNA, a new U.S. industry standard for blockchain networks

In 2024, Wyoming passed a new law recognizing DAOs (Decentralized Autonomous Organizations) as legal entities. DUNA or "Decentralized Unincorporated Non-Profit Association" is the only viable structure tailor-made for US projects. By incorporating DUNA into a decentralized legal entity structure, crypto projects and other decentralized communities can give their DAOs legal legitimacy. - Promote greater economic activity while insulating token holders from liability and managing tax and compliance needs.

The DAO is the community that manages the affairs of the open blockchain network and is an essential tool to ensure that the network is open, does not discriminate, and does not extract value unfairly. DUNA can unlock the potential of DAOs, and many projects are already working hard to implement this tool. As the U.S. is expected to promote and accelerate the development of its crypto ecosystem in 2025, I expect DUNA to become the standard for U.S. projects. We also expect other states to adopt similar structures (Wyoming led the way; they were also the first state to adopt the now common limited liability company LLC)...especially in other decentralized applications outside of crypto (such as physical foundations facilities/energy grids). —Miles Jennings (X: @milesjennings | Farcaster: @milesjennings)

4. Builders will reuse more, not just reinvent infrastructure

Over the past year, teams have continued to reinvent the wheel within the blockchain stack, developing more customized validator sets, consensus protocol implementations, execution engines, programming languages, and RPC APIs. These efforts sometimes provide improvements in specific functionality, but often fall short in terms of generality or basic functionality. For example, a programming language designed specifically for SNARKs (Succinct Non-Interactive Knowledge Proofs): while the ideal implementation might enable ideal developers to produce higher-performing SNARKs, in practice it might , online learning resources and AI programming support are not as good as general-purpose languages ​​(at least for now), and may even lead to performance inferior to SNARKs of general-purpose languages.

Therefore, I expect that 2025 will see more teams leveraging the contributions of others and more reuse of off-the-shelf blockchain infrastructure components, including consensus protocols, existing staked capital, and proof systems. Not only does this approach help builders save a lot of time and effort, it also allows them to focus on improving the unique value of their product or service.

The current infrastructure is mature enough to support the development of mainstream web3 products and services. As in other industries, the successful teams will be those that can successfully manage complex supply chains, not those that refuse to use “non-homegrown” technologies. ——Joachim Neu (X: @jneu_net)

5. The crypto industry will have its own app store and discovery platform

When encrypted apps are blocked by centralized platforms like the Apple App Store or Google Play, it limits the user acquisition capabilities of these apps. Now, though, we're seeing emerging app stores and marketplaces that offer this distribution and discovery capabilities without putting in place barriers. For example, Worldcoin's World App marketplace not only stores proof of personal authentication but also allows access to "mini-apps," attracting hundreds of thousands of users for multiple apps in just a few days. Another example is the fee-free dApp Store for Solana mobile users. These examples also suggest that not just software, but hardware (e.g. phones, scanners) may be a key advantage of encrypted app stores... just as Apple devices were once key to early app ecosystems.

Meanwhile, there are other stores (such as Alchemy) that host thousands of decentralized applications and web3 developer tools; and blockchains that serve as publishers and distributors of games (such as Ronin). However, it’s not all plain sailing: if a product is already distributed through channels such as messaging apps, migrating it on-chain can be difficult (exception: Telegram/TON network). Likewise, similar problems exist for applications that have been distributed via web2. But we may see more of these migrations in 2025. ——Maggie Hsu (X: @meigga | Farcaster: @maggiehsu)

6. Crypto asset holders will transform into crypto users

Crypto has made significant progress as a political movement in 2024, with key policymakers and politicians taking a positive view. We also see it continuing to grow as a financial movement (such as Bitcoin and Ethereum ETPs broadening investor participation). By 2025, crypto will further evolve into a computing movement. So, where will the next user group come from?

I believe now is the perfect time to re-engage current “passive” crypto holders and convert them into more active users, as only 5%-10% of crypto asset holders are active users. We can bring the 617 million people who already own crypto assets onto the chain – especially as continued improvements in blockchain infrastructure are driving down transaction fees for users. This means new apps will start popping up for existing and new users. At the same time, the early applications we have seen (such as stablecoins, DeFi, NFTs, games, social, DePINs, DAOs, and prediction markets) are becoming more mainstream user-friendly as the community focuses more on user experience and other improvements. ——Daren Matsuoka (X: @darenmatsuoka)

7. “Hidden cables” will promote the birth of web3 killer applications

Blockchain’s technological “superpowers” ​​make it unique, but they also hinder mainstream adoption. For creators and fans, blockchain can unlock connectivity, ownership, and monetization… but industry insider jargon (like “NFTs,” “zkRollups,” etc.) and complex designs create a barrier for those who can most benefit from the technology. People put up obstacles. I’ve seen this firsthand in countless conversations with media, music and fashion executives.

Much of the mass adoption of consumer technology has followed this path: It started with technology; some iconic company or designer abstracted away the complexity; this shift helped unlock some groundbreaking applications. For example, email's SMTP protocol is hidden behind the "send" button; or credit cards, most users today don't need to know about payment rails. Similarly, Spotify revolutionized music not by showing off file formats but by delivering playlists to our fingertips. As Nassim Taleb said, “Over-engineering brings brittleness. Simplicity is the key to scaling.”

So I think our industry will adopt this concept in 2025: "hide the cable." The best decentralized apps have focused on more intuitive interfaces, making them as easy as tapping the screen or swiping a card. In 2025, we will see more companies focusing on simple design and clear communication; successful products require no explanation; they directly solve a problem. — Chris Lyons (X: @chrislyons)

Andrew Hall’s 6 major trends in decentralized governance in 2025

2025 promises to be an exciting year for decentralized governance. DAOs (Decentralized Autonomous Organizations) are constantly pushing the limits and exploring new ways for anonymous token holders to collectively govern. Investment managers are trying to persuade their clients to participate in online shareholder votes more frequently. And AI companies are using citizen assemblies to set specifications for large language models (LLMs). This will mean that many decentralized governance experiments will be conducted simultaneously, including:

• A website that helps voters vote by proxy

• AI delegation mechanism

• AI agent

• Smarter incentives for participation

• Better funding of public goods

• More experiments with lotteries