21Shares Releases Mid-Year 2025 State of Crypto: Predictions Realised, Trends Solidified

Core Insights - 21Shares has published its mid-year 2025 report, highlighting significant developments in the cryptocurrency market and validating its earlier predictions for the year [1][2] Group 1: Market Developments - The report indicates that nation-states are increasingly adopting Bitcoin as a strategic reserve asset, with the U.S. becoming the largest public holder with over 200,000 BTC [4] - Total assets under management (AUM) in global crypto ETPs have reached $180 billion, with a potential rise to over $250 billion if macro conditions improve, reflecting a 38% increase in valuations [4] - Solana is gaining market share against Ethereum, with real economic value narrowing the gap significantly from $73 million vs. $142 million in October 2024 to $30.5 million vs. $39 million in June 2025 [4] Group 2: Regulatory Changes - Many jurisdictions are reconsidering retail crypto bans, with the UK moving to lift the retail ban on crypto ETNs and Japan proposing to legalize Bitcoin ETFs [4] - South Korea has lifted its corporate crypto trading ban and is preparing to open the door to crypto ETFs, indicating a shift towards more favorable regulatory environments [4] Group 3: Stablecoin Adoption - Stablecoin AUM has reached an all-time high of $252 billion, with 35.7 million active addresses, showcasing the growing adoption by nation-states, financial institutions, and Web2 companies [4] - The GENIUS Act in the U.S. is gaining momentum for stablecoin legislation, while Hong Kong has launched a stablecoin sandbox and Thailand is piloting a retail baht-backed stablecoin [4]