It finally happened. In 2024, bitcoin surpassed $100,000, capping a year of growing adoption and growing technological innovation.
Will 2025 bring similar luck to cryptocurrency fans? Some experts believe that bitcoin, the first cryptocurrency, could double its record valuation and reach $200,000.
But the rise of bitcoin is just one chapter in the continuing story of the evolution of cryptocurrency and the maturation of the blockchain industry. The future of digital assets isn’t just about price levels and market caps: it’s also about how these Web3 technologies are helping to reinvent digital finance and commerce on a global scale.
Institutional interest, regulatory clarity, and general utility are driving forces that could shape this potential trajectory.
Regulation as a catalyst and not a constraint
Regulation has long been seen as the biggest barrier to crypto, but 2024 has flipped that narrative and 2025 could continue the trend.
2024 started with Securities and Exchange Commission endorsing Bitcoin ETFs after years of opposition to the idea. black rock‘s Bitcoin exchange-traded fund (ETF) reportedly gave Bitcoin a boost and helped the price of the cryptocurrency surpass the $100,000 mark, according to a PYMNTS report.
In Europe, the Markets in Crypto Assets (MiCA) Regulation has established a strong framework for crypto companies looking to shed their “Wild West” image and enter the financial mainstream. According to an announcement on Monday, December 30, the digital assets platform MoonPay said it was one of the first companies to gain approval under the European cryptocurrency regulation MiCA.
Yet one of the downsides of crypto remains its use to circumvent regulations. Russian companies are reportedly using bitcoin and other cryptocurrencies to make international payments. This is a trend that follows legislative changes that allowed these types of payments to circumvent Western sanctions, it was reported on Tuesday (December 26).
It would appear that domestic regulatory dynamics surrounding crypto in the United States ahead of 2025 have even driven the likes of the venture capitalist. Marc Andreessen arguing that banks were cutting ties with clients on the political right or with sectors such as the cryptocurrency sector.
As crypto continues its march toward mainstream adoption, its role in business financing is growing. PYMNTS explored the reality of crypto for cross-border payments, but not those designed to evade sanctions, this Tuesday, December 31. “Cross-border payments, historically plagued by high fees and slow transaction times, will undergo a significant transformation in 2024,” this report states. “Blockchain technology has become a key tool, offering transparency, speed and profitability. »
CFOs and treasurers are at the forefront of what could be a financial revolution. Staying ahead of terms like “stable sandwiches,” zero-knowledge proofs, atomic swaps, on-chain liquidity, and more will allow financial leaders to make informed decisions about integrating these technologies into their systems payment.
From partnerships to payments
For crypto to maintain its momentum, it must deliver on its promise of utility. The days of speculative hype are fading to reveal a focus on real-world applications that improve transparency, reduce costs, and improve efficiency.
Crypto adoption is also taking root in the Middle East, where partnerships represent much more than localized efforts. These are signals of crypto’s global ambitions.
Crypto.com in partnership with the United Arab Emirates Dubai Islamic Bank (DIB), announced Monday, December 30. The partnership follows another Crypto.com project in the region, with the company having already received a license to launch a MasterCard-powered card in Bahrain. Crypto.com plans to eventually expand its card offering to other Gulf countries, including Kuwait, Oman, Qatar, Saudi Arabia and the United Arab Emirates.
In 2024, the role of stablecoins as a bridge between traditional finance and digital currencies has become more pronounced. No later than December 23, Wirex added two new stablecoins to its digital payments platform, while moviegoers on vacation this year were allowed to purchase tickets and discounts at Royal cinemas in the United States using the stablecoin USDC.
See also: How 15 pivotal events impacted the digital economy in 2024
Decentralized stable cryptocurrency protocol Frax Finance also launched a stablecoin that it says offers “unprecedented” transparency and custody. The frxUSD stablecoin is a renowned evolution of the company’s flagship FRAX stablecoin and will leverage black rockThe USD Institutional Digital Liquidity Fund (BUIDL), symbolized by SecuritizeFrax said Thursday (January 2).
In another separate development, it was reported on Thursday that leading stablecoin Attached has seen its market value fall amid new European Union (EU) cryptocurrency rules, with the company’s USDT seeing its biggest weekly decline in two years.
Meanwhile, the leading digital asset broker FalconX acquired Arbelos Markets to expand its derivatives business and strengthen its position among cryptocurrency derivatives brokers, it was announced on Thursday. This acquisition comes at a time when positive regulatory momentum and the growth of exchange-traded funds (ETFs) and derivatives markets have driven growth in the institutional market.
Elsewhere Thursday, KuCoin has introduced a solution designed to bring cryptocurrency payments to the retail industry by allowing customers to complete their purchases through KuCoin – once integrated with a merchant’s payment system – by scanning a QR code or using the KuCoin app.
