Seven Major Encryption Core Trends and Future Development Direction Outlook

With the continuous development of the encryption industry, we have observed some emerging trends worth noting. These trends encompass various fields such as stablecoins, application distribution, decentralized governance, and provide new perspectives for future technological innovation and applications. Here is a discussion of the seven core trends for the upcoming year:

1. The use of stablecoins for payments by enterprises will become mainstream.

Stablecoins, as a low-cost and fast global payment method, are gaining increasing recognition. It is expected that within the next year, we will see more businesses, especially small and medium-sized enterprises, begin to experiment with using stablecoins for payments. This shift can not only help businesses reduce transaction costs but also open up new profit opportunities for them.

As the application of stablecoins expands, we may see more companies trying to bypass traditional payment service providers, directly converting the saved 2% fees into profits. At the same time, companies will also begin to seek new solutions to address the current issues faced by credit card companies, such as fraud protection and authentication.

2. National debt on-chain becomes a new trend

Moving government bonds to the blockchain could become a new direction for development. This practice not only creates a government-backed, interest-bearing digital asset but also avoids the privacy issues associated with Central Bank Digital Currencies (CBDC). For the decentralized finance (DeFi) ecosystem, this will provide a new source of collateral, increasing stability and credibility.

Some countries have begun to explore this field. For example, the UK is exploring the possibilities of digital securities through its financial regulatory agency, while the US may also engage in more discussions on how to use blockchain to enhance the transparency, efficiency, and participation of bond trading.

3. DUNA Becomes the New Standard for Blockchain Networks in the United States

The Decentralized Unincorporated Nonprofit Association (DUNA) is expected to become the industry standard for cryptocurrency projects in the United States. This legal structure is specifically designed to support the decentralized governance of blockchain networks, providing legal status for Decentralized Autonomous Organizations (DAOs).

The adoption of DUNA will enable encryption projects to better address legal liabilities, taxation, and compliance issues, while also promoting broader economic activity. As the United States continues to advance its encryption ecosystem, it is expected that other states may follow suit by adopting similar frameworks.

4. Infrastructure reuse becomes mainstream

In the future, we may see more teams choosing to reuse existing blockchain infrastructure components rather than building from scratch. This approach not only helps developers save time and effort but also allows them to focus more on creating the unique value of their products or services.

As infrastructure matures, successful teams will be those that can effectively leverage complex supply chains, rather than those that insist on fully autonomous development. This shift will enable developers to launch Web3 products and services aimed at the mass market more quickly.

5. The Rise of Exclusive App Stores and Content Discovery Channels

With the restrictions of traditional app stores on encryption applications, we have seen the emergence of new distribution and content discovery channels. These new platforms not only offer a more flexible way to distribute applications but also provide users with more choices.

In the future, we may see more hardware (such as dedicated phones or authentication devices) becoming key advantages for the encryption app store. At the same time, some Web2 applications that already have strong distribution channels may also consider migrating to the blockchain.

6. Encryption users transition from holders to active users

As encryption technology advances in the political and financial sectors, the next key step will be to activate the currently "passive" holders of encryption assets and convert them into active users. Currently, only 5-10% of encryption asset holders are actively using encryption technology.

With the continuous improvement of blockchain infrastructure and the reduction of transaction fees, we expect to see more users participating in on-chain activities. This will create opportunities for new applications while also driving existing applications to continuously improve in terms of user experience and functionality optimization.

7. "Hiding Technical Details" Promotes the Adoption of Web3 Applications

To promote the widespread adoption of Web3 applications, simplifying the user experience will be key. Future successful applications will focus on simple design and clear communication, making complex encryption technology "invisible" to the average user.

This approach is similar to the process of popularizing technologies such as email and credit cards, where complex technical details are hidden behind a simple user interface. By focusing on solving real problems rather than emphasizing technical jargon, Web3 applications will be better able to attract mainstream users.

Future Prospects of Decentralized Governance

Looking ahead to 2025, the field of decentralized governance will witness multiple innovations:

1. The Popularization of Voting Delegation Websites
2. AI-assisted delegation mechanism
3. AI as an agent participating in governance
4. Smarter participation incentive mechanism design
5. More efficient funding support methods for public goods
6. More experiments in lottery governance

These innovations will bring new possibilities for decision-making and operations in decentralized organizations, driving the entire industry towards a more democratic, transparent, and efficient direction.