Top 5 predictions for 2025
In this article, JellyC’s CIO Michael Prendiville looks ahead to identify emerging trends as he presents JellyC's top five cryptocurrency predictions for 2025.
1. Fiat-backed stablecoins have a market cap of $186 billion and are expected to rise by 50% again in 2025 to approximately $280 billion. Non-USD fiat-backed stablecoins will emerge, simplifying global remittances. The country native fiat backed stablecoins will be used for merchant transactions as well as for crypto on-ramping and tokenisation vehicles. Project Acacia and the Redbelly network will help propel Australia’s move into the regulated stablecoin and Real-World Asset (RWA) markets. Project Acacia will also establish the building blocks for the wholesale Central Bank Digital Currency (CBDC) in Australia.
2. On the decentralised stablecoin side, Ethena’s USDe will continue its rapid growth, supported by yields from BTC and ETH (see funding and basis) and Blackrock’s tokenised USD yield fund (BUIDL). Competitors to Ethena will emerge in non-USD backed stablecoin protocols offering similar yields.
3. In 2025, more funds will begin the process of tokenising their share registry and establishing a 24/7 secondary market for liquid assets. The investor experience will be transformed as accessibility, transparency, and liquidity are all enhanced. The cost of running a fund will drop as registry and administration fees are significantly reduced.
4. Agents will be able to access wallets and deploy across DEXs and CEXs to execute smart order routing. This will ensure retail investors always get the best execution, helping to reduce the wealth gap. Leading CEXs (OKX, Binance, Kraken, Bybit) and DEXs (Aerodrome, Uniswap, Jupiter, Radium) will capture a larger share of the trading volume based on fee reduction and improved liquidity.
5. Pro-crypto legislation in the U.S. will make significant progress, influencing countries such as those in Europe, Great Britain, Canada, Japan, and Australia. Emerging markets in Africa, Eastern Europe, and South America will also follow suit.
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