The institutionalization of crypto markets means bitcoin (BTC) is no longer considered a niche investment, and increased adoption is forcing hesitant investors to reconsider the asset class, WisdomTree said in a report Monday. , which looked at crypto trends for 2025.
The investment manager noted that portfolios with allocations to bitcoin are still outperforming those that do not hold the world’s largest cryptocurrency.
Asset managers need to integrate digital assets into multi-asset portfolios or “risk failure in a rapidly evolving financial landscape,” wrote analyst Dovile Silenskyte, adding that bitcoin adoption is expected to grow this year as more clients demand exposure to the asset class. .
U launch of spot exchange-traded funds (ETFs) in the United States helped take crypto more mainstream in 2024. This momentum is expected to continue this year as the regulatory environment becomes friendlier in the United States under President Trump , and as more countries approved exchanges. products (ETP) for altcoins like solanaof SOL is XRPWisdomTree said.
“This next wave of altcoin ETPs will expand the diversity of crypto investment opportunities and further integrate cryptocurrencies into the global financial system,” Silenskyte wrote.
The role of the Ethereum blockchain as the “backbone of decentralized finance (DeFi), non-fungible tokens (NFT) and Web 3 is unmatched,” the report said, but its scalability issues are still an issue.
However, recent updates included Dencun are expected to drive the adoption of layer 2 on the blockchain, the report said.
Stablecoins are “becoming indispensable to the global financial system,” and networks like Solana are ideal for stablecoin payments and remittances, WisdomTree said.
Tokenizationthe process of putting real-world asset ownership on the blockchain will expand dramatically in 2025, and transform industries from private equity to venture capital, the report added.
