Spencer Bogart, general partner at Blockchain Capital, says shifting regulation, evolving token models, and expanding stablecoin use are set to shape the next phase of growth in digital assets, according to remarks on the “Layer One” program with Kelvin Sparks and John Wu.
He pointed to changing market structures and the divide between public and private blockchains as key factors that could redefine how networks capture and distribute value. Bogart also highlighted what he called a broader “repricing” across crypto assets, driven by differences in transparency, scalability, and real-world adoption.
Stablecoins move beyond trading use
Stablecoins have grown far beyond their original role as trading tools. Their total market capitalization surpassed $300 billion earlier this year, with annual transfer volumes reaching about $33 trillion in 2025.
That expansion is tied to practical use cases such as payments, treasury management, and cross-border transfers. In regions including Sub-Saharan Africa and Latin America, demand is being driven by everyday utility, including hedging against inflation and enabling remittances.
Regulation becomes clearer in key markets
Regulatory clarity is also improving, particularly in Europe. The Markets in Crypto-Assets (MiCA) framework is nearing its final implementation deadline of July 1, 2026, for existing firms. The rules create a unified system across the European Union, giving the industry more structure and predictability.
Bogart suggested that clearer boundaries could help determine which projects succeed, especially as compliance expectations rise alongside adoption.
Tokens shift toward revenue-linked models
A major shift is underway in how tokens are designed. More protocols are introducing mechanisms that pass revenue directly to token holders, moving away from purely “utility”-based narratives toward structures resembling ownership.
This comes as a valuation gap persists across the sector. Decentralized finance protocols generate over 60% of industry revenue but represent only about 7% of total market capitalization. The disconnect is drawing attention to projects with stronger economic rights and clearer value capture.
Privacy debate intensifies with new tools
Privacy remains a central issue as networks try to balance strong encryption with regulatory compliance. Technologies such as zero-knowledge proofs (ZKPs) are gaining traction by allowing data verification without revealing sensitive information, offering a potential middle ground.
Prediction markets gain ground
Bogart also pointed to decentralized prediction markets as an emerging segment. Platforms like Polymarket and Augur are being used to forecast real-world outcomes, from elections to market movements, often running on faster and cheaper blockchains.
Outlook remains open-ended
Bogart concluded that the most impactful blockchain applications may not yet exist, arguing the sector is still in an early phase of experimentation. As token models evolve, regulation solidifies, and real-world use cases expand, the next decade of growth will likely be shaped by how effectively projects combine utility, compliance, and value distribution.
Explore how regulation and stablecoins shape crypto’s future—dive into our guide on global stablecoins’ evolving role today.
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