Why I No Longer Recommend Friends to "Learn About Crypto" First

Last month, I tried onboarding another non-crypto friend. Ten minutes in, as I explained "choosing a wallet" and "now you need another token to pay gas fees," her eyes glazed over.

It hit me: The gap isn’t knowledge; it’s design.

A harsh reality: Speculative waves brought the first wave of users, but they won’t attract the next billion. True adoption starts when crypto fades into the background—where users gain value without noticing the tech.

From stablecoin growth to institutional staking and AI’s expanding role in the digital economy, the groundwork for mass adoption is laid. But to unlock this future, we must stop demanding users "learn crypto" and start building products that hide the complexity.

Here are 8 key narratives and projects to watch.

The Winning Formula for Next-Gen Wallets: Singular Focus
Wallets are undergoing structural change: Users now rely on two complementary wallets—one for daily use (like fintech apps) and another as a "vault" for storage (like bank accounts).

Wallet functions are diverging. Developers cramming all features into one interface will lose to those specializing in (a) frictionless onboarding or (b) ultra-secure storage.

Data shows most users juggle 2-5 wallets, with 48% citing fragmented "walled garden" blockchains as the reason.

Meanwhile, wallet adoption is top-heavy: Veterans (2+ years in crypto) concentrate on Binance, Coinbase, MetaMask, or Trust (54+%), while no single wallet dominates among newcomers (<20%).

Self-custody remains daunting. Even Binance’s user-friendly "Web3 Wallet" only captured 22% adoption, with most users still hesitant.

Users Don’t Want Multiple Wallets—They Have No Choice
The promised "seamless multi-chain future" hasn’t arrived. While 48% use multiple wallets to access different chains, 44% split wallets for security (up from 33% last year).

The industry has offloaded complexity to users, who’ve grown wiser—no longer trusting one wallet for all scenarios.

Example Projects:

• Phantom: A popular wallet supporting Solana and Ethereum.

The Divergence Between Behavior and Belief
Speculation remains the core driver. Though 54% used crypto for payments or P2P transfers last quarter, only 12% cited payments as their favorite activity. Trading (spot, memecoins, DeFi) dominates weekly activity across all user types, crowding out utility.

Three barriers hinder practical adoption:

1. Cost: 39% say high L1 gas fees are the biggest hurdle.

2. UX: Just 11% think crypto products are beginner-friendly.

3. Network Effects: Payments rely on social/merchant ties, but fragmented chains/wallets break this loop.

Example Projects:

• Huma Finance: PayFi pioneer for cross-border payments (10.5% APY).

• Tectum: Instant, feeless crypto payments.

• Alchemy Pay: Fiat-crypto gateway.

• NOWPayments: Supports 300+ cryptos.

Chains Are the New Infrastructure—Users Shouldn’t Notice
Multi-chain ecosystems are about specialization. Chain abstraction will win: Wallets should route orders, balances, and identities to the optimal backend (for cost, speed, security) without user input.

Ethereum remains the institutional settlement layer, but Solana is becoming the chain for high-frequency retail activity:

• Solana’s fees rose 3000% YoY; TVL grew 127%.

• Memecoin mania drove this, but Solana’s speed/cost edge is structural.

Survey data: 43% use Ethereum most; 39% prefer Solana; just 10% use L2s—showing interoperability is theoretical, not practical.

Example Projects:

• Chainlink: Cross-Chain Interoperability Protocol (CCIP).

• LayerZero: Omnichain protocol.

• Wormhole: Cross-chain messaging.

• eOracle: Permissionless data for smart contracts.

The Illusion of Improved Security
Users claim they feel safer, but wallet behavior tells another story.

Why the disconnect? Users conflate personal safeguards (hardware wallets, multisig) with systemic risks. Meanwhile, attackers industrialize "phishing-as-a-service," slashing malicious contract lifespans by 4x.

Products must prioritize "push-down anti-phishing UX" (clear signing interfaces, real-time simulations, MPC firewalls) as default features—especially in mainstream wallets.

NFTs as Digital Culture Infrastructure
NFTs are pivoting from speculative PFPs to utility-driven assets, showing sustainability for the first time.

Low-cost NFTs (e.g., on Base and Rodeo.Club) mimic in-app purchases, not art collecting.

NFTs as Engagement Layers

• Consumer Apps: Loyalty points, badges, memberships will live on-chain as NFTs, enabling cross-platform value.

• Cultural Capital: NFTs express identity/belonging, like real-world branding.

• Success = Retention, Not Floor Price: Builders must design NFTs with unlockable content, evolving traits, and real-world perks.

• AI + NFTs: Dynamic, behavior-responsive NFTs will deepen emotional attachment.

Example Projects:

• Pudgy Penguins, Bored Ape Yacht Club, Azuki, CryptoPunks, etc.

Bitcoin: The New Macro Asset Paradigm
Bitcoin has evolved from a speculative asset to a macro financial tool.

Key Shifts:

• Sovereign Reserves: Nations exploring Bitcoin for de-dollarization.

• L2 Payments: Lightning Network enables instant, low-cost cross-border transactions.

• Institutional Collateral: Bitcoin-backed loans and structured products are rising.

• Global Settlement Layer: Neutral, censorship-resistant trade infrastructure.

Example Projects:

• Solv Protocol: On-chain Bitcoin banking.

• Stacks: Bitcoin L2 for smart contracts.

• Lightning Network, Ark, Fedimint.

Institutional Staking: The New Strategic Allocation Model
As Bitcoin solidifies as a macro asset, institutions ask: How can we make it productive?

Trends:

• Bitcoin Staking: Protocols like Babylon enable yield without compromising monetary properties.

• Infrastructure Over Validators: Institutional inflows will target compliant, custodial staking products.

• Yield Diversification: Staking offers a hedge against low-yield traditional assets.

Example Projects:

• Core DAO: Non-custodial Bitcoin staking.

• BounceBit, TruFin, Archax.

Regulation, Stablecoins & AI: The Next On-Ramp

• Regulatory Clarity: 86% believe clearer rules will accelerate adoption.

• Stablecoin Surge: Adoption nearly doubled YoY (37%); Stripe uses them in 30+ markets.

• AI Synergy: 64% see AI accelerating crypto; 29% predict a "flywheel effect."

Example Projects:

• WLFI: Trump-affiliated USD1 stablecoin.

• Ripple (RLUSD), Ethena Labs (USDe), OpenEden (USDO).

Conclusion: UX 2.0 is Make-or-Break
Users demand Web2 ease, Web3 ownership, and AI smarts—all at once. Teams that abstract chains, lower fee barriers, and embed safety nets will turn crypto from a "casino" into the backbone of the on-chain internet.

The next billion users won’t know they’re using Web3—and that invisibility will be UX’s ultimate triumph.

Why I No Longer Recommend Friends to "Learn About Crypto" First

Last month, I tried onboarding another non-crypto friend. Ten minutes in, as I explained "choosing a wallet" and "now you need another token to pay gas fees," her eyes glazed over.

It hit me: The gap isn’t knowledge; it’s design.

A harsh reality: Speculative waves brought the first wave of users, but they won’t attract the next billion. True adoption starts when crypto fades into the background—where users gain value without noticing the tech.

From stablecoin growth to institutional staking and AI’s expanding role in the digital economy, the groundwork for mass adoption is laid. But to unlock this future, we must stop demanding users "learn crypto" and start building products that hide the complexity.

Here are 8 key narratives and projects to watch.

The Winning Formula for Next-Gen Wallets: Singular Focus
Wallets are undergoing structural change: Users now rely on two complementary wallets—one for daily use (like fintech apps) and another as a "vault" for storage (like bank accounts).

Wallet functions are diverging. Developers cramming all features into one interface will lose to those specializing in (a) frictionless onboarding or (b) ultra-secure storage.

Data shows most users juggle 2-5 wallets, with 48% citing fragmented "walled garden" blockchains as the reason.

Meanwhile, wallet adoption is top-heavy: Veterans (2+ years in crypto) concentrate on Binance, Coinbase, MetaMask, or Trust (54+%), while no single wallet dominates among newcomers (<20%).

Self-custody remains daunting. Even Binance’s user-friendly "Web3 Wallet" only captured 22% adoption, with most users still hesitant.

Users Don’t Want Multiple Wallets—They Have No Choice
The promised "seamless multi-chain future" hasn’t arrived. While 48% use multiple wallets to access different chains, 44% split wallets for security (up from 33% last year).

The industry has offloaded complexity to users, who’ve grown wiser—no longer trusting one wallet for all scenarios.

Example Projects:

• Phantom: A popular wallet supporting Solana and Ethereum.

The Divergence Between Behavior and Belief
Speculation remains the core driver. Though 54% used crypto for payments or P2P transfers last quarter, only 12% cited payments as their favorite activity. Trading (spot, memecoins, DeFi) dominates weekly activity across all user types, crowding out utility.

Three barriers hinder practical adoption:

1. Cost: 39% say high L1 gas fees are the biggest hurdle.

2. UX: Just 11% think crypto products are beginner-friendly.

3. Network Effects: Payments rely on social/merchant ties, but fragmented chains/wallets break this loop.

Example Projects:

• Huma Finance: PayFi pioneer for cross-border payments (10.5% APY).

• Tectum: Instant, feeless crypto payments.

• Alchemy Pay: Fiat-crypto gateway.

• NOWPayments: Supports 300+ cryptos.

Chains Are the New Infrastructure—Users Shouldn’t Notice
Multi-chain ecosystems are about specialization. Chain abstraction will win: Wallets should route orders, balances, and identities to the optimal backend (for cost, speed, security) without user input.

Ethereum remains the institutional settlement layer, but Solana is becoming the chain for high-frequency retail activity:

• Solana’s fees rose 3000% YoY; TVL grew 127%.

• Memecoin mania drove this, but Solana’s speed/cost edge is structural.

Survey data: 43% use Ethereum most; 39% prefer Solana; just 10% use L2s—showing interoperability is theoretical, not practical.

Example Projects:

• Chainlink: Cross-Chain Interoperability Protocol (CCIP).

• LayerZero: Omnichain protocol.

• Wormhole: Cross-chain messaging.

• eOracle: Permissionless data for smart contracts.

The Illusion of Improved Security
Users claim they feel safer, but wallet behavior tells another story.

Why the disconnect? Users conflate personal safeguards (hardware wallets, multisig) with systemic risks. Meanwhile, attackers industrialize "phishing-as-a-service," slashing malicious contract lifespans by 4x.

Products must prioritize "push-down anti-phishing UX" (clear signing interfaces, real-time simulations, MPC firewalls) as default features—especially in mainstream wallets.

NFTs as Digital Culture Infrastructure
NFTs are pivoting from speculative PFPs to utility-driven assets, showing sustainability for the first time.

Low-cost NFTs (e.g., on Base and Rodeo.Club) mimic in-app purchases, not art collecting.

NFTs as Engagement Layers

• Consumer Apps: Loyalty points, badges, memberships will live on-chain as NFTs, enabling cross-platform value.

• Cultural Capital: NFTs express identity/belonging, like real-world branding.

• Success = Retention, Not Floor Price: Builders must design NFTs with unlockable content, evolving traits, and real-world perks.

• AI + NFTs: Dynamic, behavior-responsive NFTs will deepen emotional attachment.

Example Projects:

• Pudgy Penguins, Bored Ape Yacht Club, Azuki, CryptoPunks, etc.

Bitcoin: The New Macro Asset Paradigm
Bitcoin has evolved from a speculative asset to a macro financial tool.

Key Shifts:

• Sovereign Reserves: Nations exploring Bitcoin for de-dollarization.

• L2 Payments: Lightning Network enables instant, low-cost cross-border transactions.

• Institutional Collateral: Bitcoin-backed loans and structured products are rising.

• Global Settlement Layer: Neutral, censorship-resistant trade infrastructure.

Example Projects:

• Solv Protocol: On-chain Bitcoin banking.

• Stacks: Bitcoin L2 for smart contracts.

• Lightning Network, Ark, Fedimint.

Institutional Staking: The New Strategic Allocation Model
As Bitcoin solidifies as a macro asset, institutions ask: How can we make it productive?

Trends:

• Bitcoin Staking: Protocols like Babylon enable yield without compromising monetary properties.

• Infrastructure Over Validators: Institutional inflows will target compliant, custodial staking products.

• Yield Diversification: Staking offers a hedge against low-yield traditional assets.

Example Projects:

• Core DAO: Non-custodial Bitcoin staking.

• BounceBit, TruFin, Archax.

Regulation, Stablecoins & AI: The Next On-Ramp

• Regulatory Clarity: 86% believe clearer rules will accelerate adoption.

• Stablecoin Surge: Adoption nearly doubled YoY (37%); Stripe uses them in 30+ markets.

• AI Synergy: 64% see AI accelerating crypto; 29% predict a "flywheel effect."

Example Projects:

• WLFI: Trump-affiliated USD1 stablecoin.

• Ripple (RLUSD), Ethena Labs (USDe), OpenEden (USDO).

Conclusion: UX 2.0 is Make-or-Break
Users demand Web2 ease, Web3 ownership, and AI smarts—all at once. Teams that abstract chains, lower fee barriers, and embed safety nets will turn crypto from a "casino" into the backbone of the on-chain internet.

The next billion users won’t know they’re using Web3—and that invisibility will be UX’s ultimate triumph.