Key Highlights
- Stablecoins could hit $1T and tokenized assets $500B by 2026, showing crypto’s shift from niche to a core part of global finance.
- Bitcoin is moving from boom-bust cycles to steadier growth, guided by big money flows, clearer rules, and macroeconomic trends.
- Crypto ETPs, prediction markets, and tokenized assets are growing fast, offering investors new ways to access digital finance safely.
21Shares, a Switzerland-based ETP provider, projects that by 2026, stablecoins will top $1 trillion and tokenized assets will reach $500 billion. The firm issued its latest State of Crypto report, which contains ten evidence-based predictions for the year ahead.
As per the report, three major forces dominated crypto in 2025: increased institutional Bitcoin adoption, matured global regulatory frameworks, and accelerated tokenization of real-world assets.
Together with the inflows of structural capital, these are expected to anchor the market through 2026. It further notes that crypto is now moving away from its earlier boom-bust cyclical patterns into its more stable macro-aligned growth phase.
Bitcoin and crypto ETPs enter next phase
Bitcoin is no longer primarily driven by its four-year halving cycle. As big money flows in, clearer regulations emerge, and economic conditions set the course, the influence of halvings is only shrinking. As a result, Bitcoin is moving from a risky, speculative asset to one that behaves more like a stable investment over time.
Crypto ETPs are becoming more popular with investors. 21Shares expects total ETP assets could surpass $400 billion by the end of 2026, even outpacing traditional benchmarks like the Nasdaq-100 ETF. Growing crypto-friendly regulations around the world are helping drive this growth. “Whether it’s $1 trillion stablecoins or half-a-trillion in tokenized assets, the momentum is structural,” said Adrian Fritz, Chief Investment Officer at 21Shares.
Stablecoins and tokenized assets on the rise
Stablecoin adoption is expected to increase from $300 billion in 2025 to $1 trillion in 2026, with the help of regulatory frameworks like the U.S. Genius ACT and Europe’s Markets in Crypto-Assets (MiCA). Stablecoins are increasingly poised to be the bridge between traditional finance and decentralized systems.
Prediction markets Polymarket and Kalshi, which became very popular this year, could see more than $100 billion in trades each year, fueled by global events and interest from institutions.
Meanwhile, tokenized real-world assets (RWAs) are growing fast. 21Shares expects RWAs to jump from $35 billion in 2025 to over $500 billion by 2026. The Clarity Act is attributed as the major driver for this. The act lets banks and asset managers issue and custody tokenized instruments publicly. According to analysts, this year will see the first tokenized IPO to settle on a blockchain, reflecting the sector’s growing legitimacy and adoption.
AI Agents and L2s Reshape Crypto in 2026
The report further illustrates the growth of the agentic economy in which, increasingly, AI-powered agents will perform financial tasks independently. For example, INFINIT, Giza, and Almanak will enable users to automate strategies that were hitherto the domain of institutions.
Infrastructure improvements are being made, from Ethereum’s ERC-800 to Google’s Agent-to-Agent protocol, enabling secure and scalable AI interactions to pave the way for automated trading, payments, and portfolio management.
Also, in the case of Ethereum, Ethereum’s layer-2 ecosystem is starting to consolidate. Base, Arbitrum, and Optimism now account for nearly 90% of activity, while many smaller networks are losing users or winding down. The Dencun upgrade lowered fees sharply, but it also created a tough environment where networks compete on increasingly thin margins, leaving several rollups unable to operate sustainably.
At the same time, other high-performance chains such as Hyperliquid, along with ETH-aligned networks like Linea, forge ahead in capturing flows by combining speed with value retention.
Specialized L2s and exchange-backed networks are gaining traction. Platforms such as Lighter and Tempo show that, with more focused use cases are beginning to outperform generalized solutions, while Coinbase’s Base and Binance’s BSC onboards millions of users on-chain directly.
Potential token launches might give a chance for early exposure to the ecosystems converging to AI, DeFi, and Ethereum scaling in the year 2026.
New investment products expand market access
Apart from the report, 21Shares recently launched the first 2x Leveraged SUI ETF, ticker TXXS, providing double daily exposure to SUI. Unlike traditional ETFs that give investors direct ownership of the token, TXXS utilizes derivatives.
The firm also launched two fully physically backed ETPs, which are MORPH and EENA, targeting decentralized lending platforms and synthetic stablecoins. The products aim to bring regulated liquid access to emerging DeFi protocols across major European exchanges.
As Russell Barlow, CEO of 21Shares, explained, “Broad-based adoption of digital assets is contingent upon the market’s ability to provide simple uses of the technology.” The launches underline growing institutional demand for dedicated crypto exposure on one hand while signaling broader market maturity.
Crypto is becoming a standard part of finance. With stablecoins at $1 trillion and tokenized assets at $500 billion, the market now operates under clearer rules, giving investors and regulators better ways to navigate the digital economy.
Also Read: Gemini Gets CFTC License to Offer Prediction Markets in the U.S.
