2025 through the eyes of crypto VCs: market outlook, new opportunities and investment strategies

With the arrival of 2025, the crypto industry is ushering in new development opportunities. Over the past year, the market has experienced recovery and innovation, laying the foundation for the future. As the vane of the industry, top VCs shared their insights and prospects for the crypto industry.

! As 2025 arrives, let’s see how crypto VCs view market interpretation and potential opportunities

Highlights of Projects in 2024

In the past year, a number of projects have made breakthroughs in technological innovation and business models:

• Hyperliquid stands out as a high-performance perpetual contract DEX and is expanding the HyperEVM ecosystem
• Pudgy Penguin has led the revival of the NFT track, showing the potential of the integration of Web2 and Web3
• Ethena’s USDE stablecoin is a strong performer in the DeFi space
• The revival of mature lending protocols such as AAVE and Compound, and the rise of new projects such as Morpho and Euler

Bitcoin market outlook for 2025

Most VCs are optimistic about Bitcoin in 2025:

• Bitcoin is expected to break through $200,000, and less than $50,000 may become history
• Some believe that the peak is in the $12-$150,000 range
• Increased external liquidity and potential reserve policies may drive continued growth

Meme vs. VC Coin Controversy

The battle between meme and VC coins reflects the competition for funds and liquidity in the market:

• Meme coins resonate with retail investors’ psychology, but most struggle to maintain long-term.
• VC is facing a trust crisis and needs to rethink the token economic model.
• The solution lies in the project’s emphasis on long-term value creation.

Potential Tracks and Projects in 2025

Multiple emerging fields are expected to explode in 2025:

• RWA( The penetration rate of physical assets on the chain ) has huge room for improvement.
• The potential of re-staking and ZK-related projects is emerging.
• AI Agent is expected to reshape encryption trading and asset management.
• The PayFi track is developing rapidly, bridging traditional finance and encryption.
• Decentralized AI infrastructure and applications have broad prospects

Breakthrough for Large-Scale Applications

The payment track is generally optimistic:

• Stablecoins show their strength in non-USD countries
• An efficient crypto payment infrastructure will drive a new wave of user growth
• The Solana ecosystem has a leading edge at the retail level

Bull market phase judgment

Currently in the mid-term of a bull market:

• Factors such as ETFs may extend the bull market cycle and reduce significant volatility.
• Institutional entry and favorable policies will further boost market confidence.
• A drop of 80% may be hard to see in the future, but adjustments should still be monitored.

Retail Investor Recommendations

• Focus on high certainty tracks such as BTC, Meme, and AI
• Focus on long-term quality projects and avoid blindly chasing prices.
• Do a good job of risk management and moderate participation
• Be in awe and prioritize the safety of your funds