a16z Calls 2025 ‘the Year the World Came On-Chain’ in New Report
Andreessen Horowitz’s 2025 report declares crypto a global financial system, driven by institutional inflows, $46 trillion stablecoin transactions, and AI-linked innovation, marking a turning point where blockchain economics integrate into mainstream finance.
The cryptocurrency industry has grown from a niche experiment into a maturing global market, according to VC Giant a16z’s State of Crypto 2025 report released Wednesday.
“This is the year the world came on-chain,” the authors wrote, describing a feedback loop between prices, innovation, and participation. Bitcoin holds more than half the crypto market cap, while stablecoins rival Visa in volume.
Institutions and Stablecoins Drive Structural Shift
According to the a16z report, this transformation is being fueled by major institutions and stablecoin adoption. Circle’s market cap climbed past $50 billion after its IPO.
BlackRock expanded tokenized money-market funds, and Fidelity began testing a USD-pegged stablecoin. Morgan Stanley plans to add crypto trading on E*TRADE in 2025. They join JPMorgan, Visa, Stripe, and PayPal, which are embedding blockchain rails across payments and asset tokenization.
Monthly Active Crypto Users Growth. Source:
a16z
Bitcoin and Ethereum ETFs now hold more than $175 billion in on-chain assets. Publicly traded “treasury companies” such as Strategy Inc. have added billions in reserves, treating digital assets as balance-sheet instruments.
Stablecoins have become the market’s main engine. a16z estimates they processed $46 trillion in transactions last year—more than double PayPal and nearing ACH levels. Issuers like Tether and Circle now rank among the top U.S. Treasury holders, surpassing nations such as Germany and South Korea. Analysts say this could strengthen the dollar as regulatory clarity improves under the GENIUS Act and the upcoming CLARITY Act.
Stablecoin Institutional Adoption. Source: a16z
From DeFi to AI: Crypto’s Expanding Frontier
Decentralized finance now captures roughly 25% of spot trading as users migrate from centralized exchanges. Tokenized real-world assets, including Treasuries and corporate bonds, have exceeded $30 billion, while decentralized infrastructure networks such as Helium demonstrate viable revenue generation.
Blockchain throughput has reached 3,400 transactions per second—approaching credit-card scale. Solana and Ethereum’s layer-2 rollups anchor this performance, supported by advances in zero-knowledge proofs and quantum-resistant encryption.
The report spotlights the rising intersection of AI and crypto—from identity verification (17 million users on Worldcoin) to decentralized compute marketplaces hosting over 420,000 models. a16z says this convergence addresses AI’s centralization risks and opens new token-driven revenue loops: $33 billion in user fees last year produced $18 billion for projects and $4 billion flowing directly to tokenholders.
The firm predicts policy frameworks prioritizing market structure, surging stablecoin adoption, and “AI-crypto” applications anchoring the next era of internet infrastructure.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Webster, NY Receives $9.8M FastNY Grant and Plans Xerox Campus Transformation: A Prime Investment Prospect Focused on Real Estate and Infrastructure
- New York State allocated $9.8M via FAST NY to transform Webster's 300-acre Xerox campus into a $1B industrial hub. - Infrastructure upgrades (roads, utilities) aim to attract high-value manufacturing/logistics firms by creating "shovel-ready" conditions. - Strategic location near I-390 and Rochester Airport boosts appeal for e-commerce/cold-chain logistics, driving 10.1% local property value growth. - Project exemplifies infrastructure-driven economic revival, aligning public investment with private-sect

Opportunities for Industrial Property Development in Webster, NY
- Webster , NY's industrial real estate is transforming via $9.8M FAST NY grants and Xerox's brownfield redevelopment into a high-tech hub. - Infrastructure upgrades including roads, sewers, and grid modernization create shovel-ready zones attracting advanced manufacturing and logistics firms. - Xerox's land reclassification and BOA tax incentives accelerated site transformation, boosting residential values by 10.1% and slashing industrial vacancy to 2%. - Institutional investors and infrastructure-linked

Is Avalanche (AVAX) Poised for a Bullish Move? This Fractal Setup Suggest So!

Bitcoin News Update: Regulators Walk a Fine Line Between Crypto Expansion and Derivatives Hazards
- Bitcoin fell to $87,000 in late November 2025 amid bear market conditions, driven by Fed rate uncertainty and $248M+ derivatives liquidations. - Market focus centers on four factors: rate expectations, inflation, MSCI crypto index inclusion, and derivatives stress impacting leveraged positions. - Institutional demand showed mixed signals with $128.6M Bitcoin ETF inflows, while regulatory scrutiny intensified in South Africa and Abu Dhabi. - Key December data (jobs/PCE) and potential $90,000+ monthly clos

