Coinbase’s head of funding analysis, David Duong, stated momentum from crypto exchange-traded funds, stablecoins, tokenization, and clearer guidelines is prone to construct by means of 2026 and pace up wider use of digital belongings.
“We count on these forces to compound in 2026 as ETF approval timelines compress,” he said. In response to Duong, final 12 months laid vital groundwork by giving extra regulated paths for traders and by pushing crypto instruments nearer to regular finance.
— David Duong🛡️ (@DavidDuong) December 31, 2025
Regulatory Steps Spur Institutional Strikes
Duong identified that clearer rulebooks within the US and Europe are altering how large establishments deal with crypto. The US has moved towards stablecoin oversight with the GENIUS Act, and Europe has pushed ahead with MiCA.
These strikes are being utilized by companies to make operations prepared for brand new merchandise and to hyperlink crypto rails to funds and settlements. He stated that higher guardrails let companies design merchandise that can be utilized by a broader set of shoppers.
Investor Base Shifts Away From Single Narratives
Primarily based on reviews, crypto demand is now not pushed by a lone story or by solely early adopters. Adoption figures have held regular, at 10% in Q1 2023 and near 10% in Q1 2025, exhibiting broad, regular curiosity throughout markets.
That blend of allocators and finish customers now consists of company treasuries and long-term traders, which can scale back the speedy churn tied to short-term hypothesis. Some capital appears to be like extra strategic and will keep in place for longer.
Markets Reply With Capital
In the meantime, reviews point out that global funding funds raised greater than $48 billion by means of exchange-traded merchandise (ETPs) associated to digital currencies from January 2023 till December 2025—this is a rise from 2024.
Funding funds centered on Ethereum had nearly 3 times the influx throughout this timeframe as in comparison with 2024.
The expansion of stablecoins continues to be vital; their market capitalization is roughly $300 billion, however stablecoins nonetheless course of trillions of {dollars} by means of full buying and selling venues and DeFi.
Tokenized belongings are smaller by comparability, with a market worth above $1.2 billion, however analysts count on progress as establishments take a look at blockchain-based possession and fractional investing.
Tokenization And Company Use
Companies have began to experiment with digital asset treasuries and tokenized collateral. These are being examined to be used in lending, settlement, and as a part of company stability sheets.
Primarily based on Duong’s view, tokenized collateral might be extra extensively accepted in conventional offers, and stablecoins is likely to be used extra in delivery-vs-payment setups. These sensible makes use of are being watched carefully by banks and custodians.
Outlook For 2026
Duong summed up his view by stressing three issues: clear coverage, operational readiness, and helpful merchandise. In response to him, when regulators set clearer guidelines, establishments construct safer techniques, and corporations design merchandise folks can truly use, crypto can transfer from a distinct segment market towards a extra central position in finance.
Featured picture from Chainalysis, chart from TradingView
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