What’s Next for Crypto? 2025 Predictions from the Industry’s Frontlines
Learn what to expect from the next chapter of crypto, according to the voices shaping its future.
2025 is looking like a pivotal year for the crypto scene. The industry is moving from mere experimentation to solid infrastructure—driven by a 20% surge in traffic during major market events, increasing participation from institutional investors, the entry of traditional finance into crypto offerings, and regulators finally catching up.
To understand what’s on the horizon, Sumsub’s Crypto Report 2025 tapped into insights from some key figures in the industry. Their predictions offer valuable perspectives on the future of stablecoins, the evolving regulatory environment, and the ongoing battle against fraud.
Here’s a breakdown of the expert insights, organized into three main themes that are set to shape the coming year—and what these trends mean for businesses navigating this rapidly changing landscape.
The rise of stablecoins: From payments to programmable money
As crypto moves closer to mainstream use, stablecoins are emerging as one of the most critical tools for real-world utility. Their appeal lies in speed, affordability, and stability—all qualities traditional crypto assets have struggled with.
According to one of our experts, the coming year will accelerate this trend significantly:
In 2025, we anticipate significant advancements in cryptocurrency, driven by stablecoin adoption, innovative smart contract applications, and institutional interest. Payment use cases for stablecoins will grow rapidly, and Bitcoin’s increasing acceptance as an asset class will spur market infrastructure development. Additionally, regulatory clarity, such as Europe’s MiCA, will accelerate global adoption and foster trust in digital assets. These trends will create a more integrated financial ecosystem while enhancing consumer protection and broadening crypto’s mainstream appeal.
Jordan Bregman
BD Lead at Chainalysis
The fusion of programmable money and AI is also taking form. Stablecoins are no longer just a bridge between fiat and crypto—they’re transforming into programmable financial instruments. We’re seeing the rise of autonomous, AI-driven agents capable of setting up or managing payments based on programmable conditions. This opens the door to smarter contracts, dynamic settlements, and new forms of digital finance that operate with minimal human input.
Momentum is building on all fronts—prices are climbing, adoption is accelerating, and stablecoins are at the center of it all:
With Bitcoin surpassing $100K and crypto adoption accelerating, 2025 is set to be a pivotal year. Stablecoins are gaining traction, enabling faster, more affordable transactions for businesses and paving the way for mainstream crypto payments. Meanwhile, evolving global regulations aim to enhance market integrity and investor protection—an encouraging sign for the industry.
Gracy Chen
CEO at Bitget
Regulation takes central stage in 2025
If 2024 was the year of anticipation, 2025 is the year of action. Around the world, more jurisdictions are implementing Travel Rule regulations, more requirements are issued in order to get a license, and regulators are constantly tightening frameworks.
In the UK, for example, there’s a growing urgency to stay competitive, particularly with worries that the country is lagging behind its international peers.
2024 was a milestone year for the digital assets industry, however, the UK had been at risk of slipping behind on the world stage and in achieving our aspiration of becoming a global crypto hub. We are, however, pleased to see the FCA’s regulatory roadmap, and we’re keen to work further with the Government, regulators, and special committees on advancing legislation which will be critical for the digital asset sector to advance.
Su Carpenter
Executive Director at CryptoUK
Meanwhile, policy shifts and institutional interest are reshaping what “market leadership” looks like. Across Europe, regulators are doubling down on compliance and transparency through regulations such as MiCA. Globally, the message is the same: reputation and infrastructure are key.
Market integrity is the new alpha, a key competitive edge. Strong reputational signals and improved procedures are attracting institutional flows, reinforcing ‘liquidity flows to safety.’ Regulators are pushing stablecoin issuers and VASPs to strengthen monitoring and due diligence on sanction risks. Comprehensive crypto licensing regimes are expanding globally, with South America next, while AI is playing a growing role in compliance workflows. 2025 will be pivotal for enforcing these new frameworks and tighter regulations.
Delphine Forma
Policy Lead, EU&UK at Solidus Labs
Legislative changes happening in the U.S. and EU are already causing providers to rethink their strategies. Some are looking to consolidate in order to comply with new standards, while others might decide it’s best to pull out of certain markets altogether.
While crypto assets were often absent from 2024 worldwide election manifestos, 2025 may bring progress in jurisdictions lacking bespoke regulatory frameworks. In the U.S., the focus is on whether the initial potential for a deregulatory stance will be followed by concrete legislative proposals after an era of regulation by enforcement. The UK faces pressure to act, influenced by US policy shifts and its proximity to the EU, where MiCAR is now in effect. Within the EU, the transitional period for CASPs may drive provider exits or mergers as entities consolidate to stay compliant.
Natalia Latka
Regulatory Director, Merkle Science
As enforcement intensifies, being prepared for regulations will be essential for not just staying compliant but also thriving in the landscape. For crypto businesses, 2025 is the time to build a smarter, more scalable infrastructure that aligns with these global shifts.
The evolving threat of fraud in a high-stakes market
Did you know that fraud surged by a whole 48% last year, according to Sumsub’s research survey? As crypto adoption grows and institutional money flows in, so does the complexity (and scale) of fraud. The ecosystem is maturing, but so are the tactics of fraudsters. Document forgery remains the most prevalent fraud type, affecting 31% of respondents globally, while the other prevalent types include phishing, money muling, account takeover, and forced verification.
It’s exciting to see political leaders and celebrity influencers capturing attention and boosting interest in crypto. Traditional finance is also making progress with tokenization and digital assets. That said, we should also keep an eye on some underlying challenges that still need our attention.
The promotion of crypto by figures like Donald Trump and Elon Musk drives market growth, alongside rising demand from traditional finance for tokenisation and Bitcoin. Crypto exchanges are hiring ex-bankers and regulators to boost credibility, yet security remains a key issue as hackers exploit vulnerabilities. AI and deepfakes challenge KYC processes, while regulatory clarity, or its absence, will shape where crypto companies operate.
Erica Stanford
Advisor at CSM law firm
The emergence of AI-generated fraud, including deepfakes and synthetic identities, is raising the bar for compliance. As KYC systems evolve to detect more sophisticated threats, companies will need to invest in more adaptive, real-time risk mitigation tools—or risk falling behind.
A year of integration, innovation, and identity
What ties all these predictions together? 2025 is the year crypto finally begins to integrate into the broader financial system, not just as a niche but as a core component of how money moves. Traditional financial systems have also taken interest in providing crypto assets.
Stablecoins are unlocking fast, borderless payments. Regulation is catching up with the changes, offering clarity and trust. But it’s the ability to build secure, fraud-resistant systems that will separate long-term winners from those unable to keep pace.
At Sumsub, we believe identity and strong compliance are the foundation of a sustainable crypto future. That’s why we brought together these expert voices for our Crypto Report 2025—to help you stay ahead of what’s next.
