Crypto investment firm 21Shares has released its "2025 State of Crypto Market Outlook" report, forecasting major developments in the digital asset space over the next year.
The Swiss-based exchange-traded product (ETP) provider expects crypto ETPs to reach $150 billion in assets under management by 2025, propelled by growing institutional interest and supportive market conditions.
According to the report, another nation-state is likely to adopt Bitcoin as a reserve asset, with Argentina named as a potential candidate. This prediction comes as Bitcoin's total locked value is expected to exceed $10 billion in 2025, showcasing its evolving role beyond just storing value.
The outlook paints an optimistic picture for Ethereum, projecting that the second-largest cryptocurrency will experience a strong comeback in revenue growth. The report suggests Ethereum could exceed 100% of its target growth through strategic layer 2 integrations.
Head of Research at 21Shares, Adrian Fritz, highlighted that while European markets have led digital asset adoption, the United States is rapidly catching up as investor interest intensifies.
The report also anticipates wider adoption of stablecoins across traditional financial sectors and major web2 companies, describing these digital assets as one of crypto's most compelling use cases.
21Shares recently surpassed $10 billion in assets under management, plans to expand its executive team in 2025 to support business growth. The firm's projections reflect increasing confidence in cryptocurrency market maturity and institutional acceptance.