Crypto Market Outlook 2025 from Franklin Investment Fund Perspective

Franklin Templeton, the well-known digital asset management company, has just released its “Cryptocurrency Outlook 2025” report. This report focuses on analyzing the key factors that will have a decisive influence on the development of the cryptocurrency market in 2025.

The United States will become the center of global cryptocurrency

According to Franklin Templeton, 2025 will see strides in the crypto market, driven by three main factors: Regulatory Clarity, Acceptance by Large Organizations and Evolution of Technology.

In particular, the report highlights the pioneering role of US regulators, led by the Securities and Exchange Commission (SEC), in creating a regulatory environment conducive to market development.

Clear and transparent regulations will pave the way for the introduction of diversified financial products related to cryptocurrencies, such as cryptocurrency ETFs or tokenized securities. This will engage institutional investors, drive capital flows into the market, and strengthen America's position as a global cryptocurrency innovation hub.

The Intersection between Traditional Finance and Cryptocurrency

Another important trend that is reportedly highlighted is the increasing interplay between traditional financial institutions (TradFi) and cryptocurrency infrastructure.

The introduction of a regulatory framework for stablecoins in the US is expected to be an important catalyst, allowing large financial institutions to issue stablecoins on their own, thereby bridging the gap between the two financial worlds.

Stablecoins and DeFi will be the growth trend of 2025

The report forecasts the adoption of stablecoins and other crypto products to continue to expand globally, becoming a key driver for the growth of decentralized finance (DeFi).

DeFi, with its outstanding advantages of transparency, efficiency, and accessibility, is expected to revolutionize the traditional financial system.

Bitcoin continues to be a digital store of value

Bitcoin, the world's first and largest cryptocurrency, will continue to consolidate its position as a global financial asset, serving as a secure and reliable repository of digital value.

The growing acceptance by countries and organizations, including the addition of Bitcoin to strategic reserves, will be a key factor driving Bitcoin's value in the long term.

Combination of DePin, AI and Cryptocurrency

The report also points to the strong growth of decentralized physical infrastructure networks (DePIN) in 2025. DePin, with its ability to provide decentralized and efficient solutions for real-world applications such as logistics and the Internet of Things (IoT), will meet the growing demands of industries.

The convergence between artificial intelligence (AI) and cryptocurrencies is also a notable trend. Blockchain, with its transparency and verifiability, will play a key role in expanding the AI-based economy. AI agents will use blockchain to automate transactions, manage portfolios, and combine digital content with on-chain operations.

2025 is predicted to mark a shift from speculation to practical application, as the underlying technologies of cryptocurrencies, including blockchain, stablecoins, DeFi, and AI, become part of the global financial system and operations.

To navigate this context, Franklin Templeton recommends that stakeholders, including investors, businesses and governments, keep a close eye on regulatory developments, the moves of large organizations, and advances in the combination of AI and cryptocurrencies.