2024 will be a turning point for the Web 3.0 industry: Top topics for 2025 and the top 10 articles of the year selected by the editorial department

Time has flown by in 2024, and there are only a few days left.

This year has seen many events, but it has been a year of dramatic growth and expectations for the future for the Web 3.0 industry. Riding the wave of excitement in the cryptocurrency market that began around fall of last year, coupled with other factors, the industry has been in high spirits throughout the year.

In this article, we will look back on the events in the Web 3.0 industry in 2024 and consider the outlook for 2025.

First of all, the existence of Bitcoin spot ETFs is indispensable when talking about the industry this year. Expectations for approval in the United States had been rising since last year, which had been a factor in pushing up the price of Bitcoin (BTC), and the official approval has made it an extremely important source of capital inflow. In December, Bitcoin reached a milestone of $100,000 (approximately 15.2 million yen), but it is no exaggeration to say that the price would not have risen to this extent without Bitcoin spot ETFs.

There are 11 Bitcoin spot ETFs approved, and among them, "IBIT (iShares Bitcoin Trust)" by BlackRock, the world's largest asset management company, accelerated the inflow of funds. As of December 20, IBIT had expanded to a scale of 53.5 billion dollars (approximately 8.4 trillion yen), making it the leading Bitcoin spot ETF. It is also viewed by many as "the most successful ETF of the last decade."

According to K33 Research, as of December 17, the net assets of all Bitcoin ETFs, including spot and futures, in the United States exceeded the total value of all gold ETFs in the United States. The majority of Bitcoin ETFs are spot ETFs.

Gold ETFs are celebrating their 20th anniversary, but for Bitcoin, a futures ETF was approved in October 2021 and a spot ETF was approved in January this year. In particular, due to the significant inflow of funds into spot ETFs, the Bitcoin spot ETF has effectively become on par with the gold ETF in just 11 months.

The success of a Bitcoin spot ETF is of great importance in the cryptocurrency market. Currently, spot ETFs for various altcoins, such as XRP and Solana (SOL), have already been applied for, and expectations for approval are growing, especially among various holders. On the other hand, most of these altcoins are considered unregistered securities by the SEC (US Securities and Exchange Commission), and there is no clear path to approval. Considering that applications for a Bitcoin spot ETF and an Ethereum (ETH) spot ETF, which was not determined by the SEC to be a security, were rejected in the past and took a long time to be realized, it is easy to imagine that the road to approval for the currently applied for altcoin spot ETF will not be easy.

However, the approval of the Bitcoin spot ETF has fully increased the possibility of the birth of an altcoin spot ETF. For that reason, the emergence of a Bitcoin spot ETF can be said to be an extremely important milestone in pushing the industry to the next level.

When talking about Bitcoin this year, the halving is also a major topic that needs to be mentioned.

Bitcoin had its fourth halving on April 20th. As a result, the block reward for mining was halved from 6.25 BTC to 3.125 BTC.

Until now, Bitcoin has seen a large price increase with each halving. Although the rate of increase compared to the first half of the halving has been shrinking with each halving, as the price range of Bitcoin itself has become larger, the price is still steadily increasing.

The price of Bitcoin at the time of the fourth halving this year was about $63,500 (about 9.8 million yen at the time), and the price at the time of writing is $95,000 (about 14.9 million yen), so the trend of price increases due to halving has not changed at this time. Of course, it cannot be said with certainty that this trend will not change around 2028 when the next halving occurs, but at least looking back at history, it will be an important factor as reliable data in predicting Bitcoin price trends.

The current block reward is 3.125 BTC, and theoretically 450 BTC will be generated per day. At the next halving, the block reward will be 1.5625 BTC, and 225 BTC will be generated per day. At present, the appearance of Bitcoin spot ETFs and other factors have led to a growing view that Bitcoin is experiencing a "supply shock," but it is highly likely that there will be a chronic supply shortage with each halving. Given this situation, we can expect Bitcoin's scarcity to increase year by year, and its presence as a means of storing value to further grow.

The person who symbolizes the Web 3.0 industry this year is the next president of the United States, Donald Trump. His every move has had a huge impact on cryptocurrencies, including Bitcoin.

In his previous term, Trump flatly rejected cryptocurrencies such as Bitcoin and strongly advocated dollar supremacy. However, this year his attitude changed drastically. He transformed into an enthusiastic cryptocurrency advocate, calling himself the "Crypto President."

During the presidential election, Trump repeatedly stated that he would focus on cryptocurrency policies. He also repeatedly made very positive statements about the cryptocurrency industry, such as "Let's make Bitcoin something that originates in the United States" and "The United States must be the world's leader in the cryptocurrency field." This attitude has had a huge impact on the cryptocurrency market, especially Trump.

Trump has solidified the lineup of his new administration, which will be inaugurated on January 20th next year. The lineup is made up of people who can be called "pro-cryptocurrency," and expectations are growing day by day that the current environment surrounding cryptocurrencies will be dramatically changed.

In addition, since the inauguration of the Trump administration, the possibility has emerged that the US government will hold Bitcoin as a reserve, which, if realized, is likely to have a major impact on the price of Bitcoin once again.

It is expected that Trump will begin to take steps to implement policies related to cryptocurrencies shortly after assuming his presidency, and his actions will continue to attract attention.

Looking at Japan itself, there were many events in 2024. Among them, the incident in which Bitcoin was illegally leaked from DMM Bitcoin shocked many people.

The details of this incident, in which Bitcoin worth about 48.2 billion yen at the time was leaked, remained unclear for a long time, but on December 24th it was identified as the work of TraderTraitor, a cyber attack group of the North Korean hacker group Lazarus Group. Employees of Ginco, a cryptocurrency wallet company to which DMM Bitcoin entrusted asset management, were compromised by hackers, which led to a huge amount of illegal leakage.

In response to this incident, DMM Bitcoin decided to transfer customer assets to SBI VC Trade. After the transfer is completed in March next year, DMM Bitcoin will go out of business. The closure of DMM Bitcoin, known as one of the oldest cryptocurrency exchanges in Japan, is likely to be a catalyst for changing the microcosm of the domestic Web 3.0 industry.

On the other hand, there have been many movements to utilize cryptocurrencies this year. One of the most prominent examples is the Bitcoin investment strategy of Metaplanet, which is listed on the Tokyo Stock Exchange Standard Exchange.

Metaplanet announced in April this year that it would invest 1 billion yen in Bitcoin. It continued to purchase Bitcoin after that, and as of December 23, its purchase amount had increased to approximately 20.9 billion yen. With the price of Bitcoin rising, Metaplanet's stock price has also risen, and as of the time of writing, its year-to-date increase rate has exceeded 2,100%. Metaplanet plans to continue to promote its Bitcoin investment strategy and expand its business.

In addition, listed companies such as Remixpoint and GFA are also developing cryptocurrency investment strategies. In 2025, we are likely to see an increase in the number of companies that utilize cryptocurrencies and develop investment strategies.

The following are some of the topics in the Web 3.0 field to watch in 2025.

• Trends in Bitcoin reserves in each country
• Restructuring of the cryptocurrency industry in Japan
• Trends in tax reform for cryptocurrency

Currently, the United States is not the only country moving to establish a Bitcoin reserve. Moves are being seen in various countries and regions, including Brazil and Russia. As there are requests to advance consideration toward the establishment of a reserve in Japan as well, the movement to utilize cryptocurrency on a national level is likely to accelerate in 2025.

In addition, in areas related to Japan, industry restructuring is expected to accelerate, centered on cryptocurrency exchanges. The situation is changing rapidly, with DMM Bitcoin already going out of business and multiple cryptocurrency exchanges being acquired by overseas companies.

These movements can be seen in the words of Matsumoto Dai, CEO of Monex Group, the parent company of Coincheck, which was listed on Nasdaq in December. Chairman Matsumoto said, "Two domestic exchanges is enough," indicating his intention to accelerate corporate acquisitions using the Nasdaq listing as an opportunity.

As crypto assets are becoming more similar to existing finance, it is expected that listed companies will acquire crypto asset exchanges and provide related services at an ever-increasing pace, and 2025 will be a year of major changes.

Finally, I believe that tax reform will be discussed more seriously than ever before, as it is an issue that needs to be resolved more specifically and quickly.

The recently announced 2025 Tax Reform Outline clearly states that the tax reform of crypto assets for individuals will be "considered to be reviewed." This is a big step forward, as no previous tax reform outlines have mentioned tax reform of crypto assets for individuals. On the other hand, the specific timing and scope of the reform were not indicated, and only the consideration of review was emphasized, which is dissatisfying.

However, since the possibility of tax reform will vary greatly depending on whether it is included in the tax reform outline, we would like to look forward to future discussions. Although it is unlikely, if the current issues are sorted out, there is still a possibility that some reforms will be made within the next year. Tax-related developments are expected to continue to attract close attention.

This year's Web 3.0 industry has seen rapid growth and change, which can be described as "day by day, month by month." This was a year in which crypto assets and Web 3.0-related services emerged in all areas, including the approval of a Bitcoin spot ETF. In particular, the fact that the state has strengthened its contact with crypto assets can be said to symbolize that the industry is moving into the next phase.

In terms of price, Bitcoin hit $100,000 and major altcoins also reached new highs, making this a year of enthusiasm. If last year was a market situation moving from winter to spring, this year could be said to have seen an early change in seasons and a long summer. I think that this year's summer felt very long in Japan, but the current market situation is exactly the same, and I believe that we are still in the middle of summer. This heat is likely to continue.

On the other hand, once summer comes, the seasons will change again to autumn and winter. Considering the term of Bitcoin's halving, 2025 is expected to be the year when the price peaks, and there are concerns that a large drop may occur. Although this kind of price movement has been seen before, this will be a year in which we should be well prepared for the market to return to winter.

In Japan, the handling of stable coins linked to fiat currencies at cryptocurrency exchanges and whether a path will be shown to realize a cryptocurrency ETF that will attract demand overseas will attract a lot of attention. This will be a critical year for Japan in particular in riding the global trend. I would like to emphasize that it is no longer a matter of consideration, but rather that we must take action.

Not only in Japan, but I expect the use of stable coins to accelerate worldwide in 2025, and DeFi to also show dramatic growth. Tokenization of RWA (real-world assets) and DePIN (decentralized physical infrastructure network) will also become more prominent than this year.

This year's Web 3.0 industry has been very hot and filled with excitement. As the industry becomes more mature, 2025 is likely to be a year in which we think about what we can gain from the glossy large flowers, what we can leave behind, and what kind of flowers will bloom from the next seeds.

This year has seen a variety of events in the Web 3.0 industry. We look back on the events that colored 2023 from our own perspective.

To look back on the events of 2023, we will introduce five "most viewed feature articles" on Iolite this year, as well as five "important news articles" selected by the editorial department.

Iolite Annual Feature Article Ranking

1st Place: SBI VC Trade & Crypto Influencer NISHI Discuss the "Three Crypto Conditions" Shaping the Market

Crypto influencer NISHI, who boasts over 80,000 followers on X (formerly Twitter), is well-known for his insights. His message, "Correct knowledge reduces risk," resonates with a wide audience, from beginners to professional investors. In an interview in May 2024, NISHI accurately predicted market trends, turning the article into something akin to a prophecy. Read the full article here.

2nd Place: A Comprehensive List of Cryptocurrencies – Top Coins to Trade Domestically and Their Future Potential

From Bitcoin (BTC) to thousands of other digital assets, over 24,000 types of cryptocurrencies exist worldwide. This article lists the most notable cryptocurrencies available for trading in Japan. For those looking to start investing in crypto, this guide serves as a valuable resource to deepen their understanding.
Read the full article here.

3rd Place: 【In-Depth Look at HeyGen】 Features, Pricing, and Key Considerations – AI-Powered Multilingual Interpretation on the Horizon

HeyGen, an AI-driven video creation platform, allows users to easily produce high-quality avatar videos. Equipped with realistic lip-sync technology and multilingual support, HeyGen is gaining traction in fields such as marketing, education, and presentations. This article explores the features, pricing, and practical tips for using this emerging video generation tool.
Read the full article here.

4th Place: Why Was the Genius Programmer Behind Winny Arrested?

Some speculate that Isamu Kaneko, the developer behind the file-sharing software "Winny," could be the mysterious "Satoshi Nakamoto," the creator of Bitcoin's white paper. Kaneko, known for his cutting-edge innovation, was arrested on charges of aiding copyright infringement through his software. This article delves into Kaneko’s life, the significance of Winny, and the circumstances that led to his arrest.
Read the full article here.

5th Place: Who is Virtual Model "imma"? Exploring the New "Reality" She Represents

With her signature pink bob hairstyle, virtual human "imma" has modeled for iconic brands like Ferragamo, Burberry, and Porsche. In this interview, we take a closer look at her charm, activities, and the evolving intersection of digital and real worlds. imma embodies the new icon of our era, where the virtual and physical blend seamlessly.
Read the full article here.

Editor's selection of "Important news for 2023"

- SEC approves first Bitcoin spot ETF; 11 companies, including BlackRock, to list (01/10)

On January 11, the SEC (U.S. Securities and Exchange Commission) approved several Bitcoin spot ETFs. With the victory of President Trump, expectations for deregulation of crypto assets and the market's growing recognition of crypto assets' role as an inflation hedge as "digital gold" have led to Bitcoin's price temporarily rising by more than 240% since the beginning of the year. The approval of ETFs is a milestone event for the crypto asset industry, and is expected to further accelerate the entry of institutional investors into the market. Click here for the article

- OpenAI announces new AI "GPT-4o" with twice the processing speed (05/15)

"ChatGPT", released as a conversational AI in 2022, will spark a series of generative AI booms. "GPT-4o" appeared in the midst of the generative AI boom, and was adopted as a productivity improvement tool for individuals and companies, and has become widely used in writing assistance, programming, education, marketing, etc. It is expected that the spread of AI tools will further promote business efficiency. Click here for the article

- Bitcoin worth 48.2 billion yen unauthorized leaked from DMM Bitcoin (05/30)

On May 31, DMM Bitcoin announced that it had discovered an illegal leak of 4,502.9 BTC, equivalent to approximately 49.6 billion yen at the time. A few days later, on June 5, the company raised 55 billion yen through borrowing and capital increases from group companies. The funds raised were used to guarantee the full amount to customers. Despite the large-scale leak incident, DMM Bitcoin maintained a certain level of trust in the market by quickly taking measures to protect its customers. Click here for the article

- Mt. Gox repays creditors; cryptocurrency prices plummet (07/04)

On July 5, Mt. Gox, a cryptocurrency exchange that collapsed in 2014, announced that it had paid out Bitcoin and Bitcoin Cash (BCH). The payment by Mt. Gox triggered a cautious sell-off in the cryptocurrency market, leading to a broad decline in prices, but the price of Bitcoin had already risen over the course of 10 years, and it is believed that only a limited number of people were taking profits at the time of the payment. Click here for the article

- Bitcoin hits major milestone of $100,000 (12/05)

On December 5th, Bitcoin hit the milestone of $100,000 (approximately 15.01 million yen). In addition to expectations for the next Trump administration, the launch of Bitcoin spot ETF options trading in the United States, as well as rising inflation and geopolitical risks, all contributed to the rise in demand for Bitcoin as a safe asset. Click here for the article