Key Crypto Questions Awaiting Answers in 2025
Reviewing major crypto headlines in 2024, journalists anticipate significant follow-ups this year.
ETF Developments
The demand for US spot bitcoin and ether ETFs has been established. The question remains whether similar funds for other cryptocurrencies, such as Solana and XRP, will emerge by 2025. Institutional investors, including pension funds and wealth managers, have yet to fully engage with existing BTC and ETH offerings.
Notably, Morgan Stanley advisers recently began offering bitcoin ETFs to select clients. Future developments from other financial institutions are expected. Vanguard's position on crypto remains restrictive, with changes anticipated to take longer than 2025. Additionally, there is speculation about Charles Schwab launching a spot crypto ETF.
Political Implications
Donald Trump’s previous crypto initiatives are documented. The implications of his nomination of Paul Atkins as SEC chair and the potential establishment of a US bitcoin reserve remain uncertain. The possibility of the SEC rescinding SAB121 could present a quick win for a new administration, according to Ava Labs deputy general counsel Wee Ming Choon.
Legislative Progress
Attention is on progress regarding FIT21 and US stablecoin legislation. Choon noted that Congress appears to prioritize these issues, with substantial discussions over the past 18 months indicating momentum. While the US has lagged behind other regions in implementing crypto regulatory frameworks, legislative action could change this trend.
Rep. French Hill appointed Allison Behuniak as policy director of the House Financial Services Committee, a move viewed positively for crypto policy direction.
Market Activity
There is potential for more crypto firms, including Circle, Kraken, and Figure Technologies, to go public this year. BlackRock currently leads the spot crypto ETF space and introduced a tokenized money market fund in March, joining Franklin Templeton's earlier offering.
The projected growth of the RWA tokenization segment could reach $50 billion, dependent on institutional recognition of emerging use cases.
Conclusion
2025 is poised to provide insights into the trajectory of the crypto space across various topics.