2025 Crypto Predictions: Strategic Reserves, Stablecoins, & Regulation
The crypto industry is on the cusp of significant changes as experts consider the impact of new political leadership and regulatory shifts. In a recent discussion on TNF Takes, Noah Buxton, Jeremy Nau, and Nick Ward shared their predictions for the future of crypto. Here's a breakdown of their insights.
2025 Crypto Market Predictions: From Strategic Reserves to Stablecoins
Will the U.S. Establish a Bitcoin Strategic Reserve?
Jeremy’s Prediction:
Jeremy Nau believes that the U.S. will establish a Bitcoin Strategic Reserve in 2025. The presence of pro-Bitcoin figures in the anticipated administration, such as Senator Cynthia Lummis, Vivek Ramaswami, Tulsi Gabbard, and RFK Jr., are critical momentum drivers. Influencing figures like these could push forward the idea of Bitcoin serving as an emergency reserve, akin to the Strategic Petroleum Reserve.
Nick’s Prediction:
Nick Ward has a more cautious outlook, suggesting the U.S. might begin by holding confiscated Bitcoin, such as the approximately 200,000 BTC seized from criminal cases like Silk Road, rather than purchasing Bitcoin outright. He believes this approach may more easily find a bipartisan middle ground.
Noah’s Prediction:
Noah Buxton believes the adoption of a Bitcoin reserve is inevitable but believes it will likely occur later than 2025. Noah believes the new administration would prioritize other major campaign promises before moving toward this concept.
Backing the Dollar with Bitcoin
Nick & Jeremy’s Prediction:
Both Nick Ward and Jeremy Nau reject the notion that Bitcoin would immediately serve as a reserve currency backing the U.S. dollar. Instead, a Bitcoin reserve would start similiar to that of the Strategic Petroleum Reserve, with a role as an emergency asset rather than a foundation for fiat currency.
Noah’s Prediction:
Noah Buxton agrees with the Nick and Jeremy, highlighting the improbability of the U.S. selling gold to acquire Bitcoin or adopting Bitcoin as a currency backer in the near term.
Noah’s Prediction:
Noah Buxton believes the adoption of a Bitcoin reserve is inevitable but believes it will likely occur later than 2025. Noah believes the new administration would prioritize other major campaign promises before moving toward this concept.
The End of Regulation by Enforcement?
Nick’s Prediction:
Nick Ward forecasts a softer regulatory environment under new political leadership. He anticipates the tone of the new administration will contrast greatful with the Biden administration's aggressive enforcement, which stifled innovation by burdening companies with lawsuits.
Jeremy’s Prediction:
Jeremy Nau predicts that SEC Chair Gary Gensler would announce his departure before the next presidential inauguration.
Noah’s Prediction:
Noah Buxton acknowledged Gensler’s likely exit but anticipated it happening closer to the transition of administrations. He also believes that changes in leadership at agencies like the PCAOB (Public Company Accounting Oversight Board) would bring a more collaborative regulatory approach, encouraging CPA firms to re-enter the crypto space.
Stablecoins & Dollar Dominance
Nick’s Prediction:
Nick Ward emphasized that stablecoins, particularly USD-pegged ones, are beneficial for the U.S. dollar by increasing its global network effect. He highlighted their role in providing dollar access to the unbanked and boosting U.S. treasury holdings. Therefore, he believes stablecoins will experience vast growth in 2025.
Jeremy’s Prediction:
Stablecoin issuers have become significant holders of U.S. treasuries, making their success strategically important for the U.S. Jeremy believes that the government will actively support stablecoin growth to maintain the dollar’s reserve currency status in 2025.
Noah’s Prediction:
Noah Buxton anticipates that administrative changes, such as lifting SAB 121 restrictions, will allow banks to participate more actively in stablecoin issuance. He saw this as a relatively straightforward policy shift that will occur in 2025.
The Identity of Satoshi Revealed?
Nick’s Prediction:
Nick Ward doubts that Satoshi Nakamoto’s identity would be revealed, noting the deliberate secrecy surrounding Bitcoin’s creator. He also speculates that Satoshi might no longer be alive.
Jeremy’s Prediction:
Jeremy Nau echoes Ward’s skepticism, adding that the early Bitcoin holdings attributed to Satoshi would likely remain unmoved indefinitely.
Summary of Predictions
Bitcoin Strategic Reserve: Jeremy Nau predicts adoption by 2025, while Nick Ward and Noah Buxton see more cautious timelines.
Regulatory Tone: Nick Ward and Noah Buxton anticipate a friendlier environment under new leadership.
Proof of Reserves: Jeremy Nau expects legislation, with Nick Ward and Noah Buxton agreeing on its likely inclusion in broader bills.
Taxation: Sweeping changes, like eliminating capital gains taxes, are deemed unlikely by all.
Stablecoins: All three experts see growing support for stablecoins as tools for U.S. dollar dominance.
Satoshi Nakamoto: The mystery remains, with little expectation of a reveal or movement of Satoshi’s Bitcoin.
We look forward to checking in at the end of 2025 and see how we did!
Get In Touch
Contact The Network Firm, the largest crypto-only CPA firm in the U.S., for expert assistance with audit, accounting, and advisory needs. Our team of professionals has extensive experience leading clients through successful engagements for varous types of crypto companies, including stablecoins, exchanges, custodians, miners, and more.
Jeremy Nau, CPA
Author Bio:
Jeremy is a founding member and audit partner at The Network Firm and co-creator of LedgerLens, a suite of digital asset-focused audit and attestation tools. Jeremy holds credentials as a Certified Public Accountant (CPA), Certified Management Accountant (CMA - inactive), and Certified Bitcoin Professional (CBP).
Over his 10-year career, including 7 years focused on digital assets, Jeremy has led audit and attest engagements across various industry niches, including exchanges, custodians, miners, token projects, wallets, payment processors, and stablecoins. Jeremy specializes in “Proof of Reserve” engagements.
Jeremy’s goal is to shape the future of the accounting profession, strengthened by verifiable, transparent, and trusted blockchain ledgers.
Connect with Jeremy Nau on LinkedIn/Twitter for more expert advice.