Main Points :
- Every major Wall Street institution will be involved in crypto within 12 months.
- Crypto is set to “eat” capital markets just as software once did.
- Bank of America, BlackRock, Goldman Sachs, JPMorgan, UBS and others already have crypto-services footprints.
- Tokenization and crypto ETPs are moving from fringe to mainstream.
- The institutional wave is a key driver behind the bullish long-term Bitcoin ($BTC) thesis.
- Growing trends: crypto credit/borrowing, staking, asset-tokenization—practical uses for blockchain are broadening.
1. “Crypto Is Going to Eat Capital Markets” — Institutional Adoption at the Brink
Hunter Horsley, CEO of Bitwise Asset Management, recently declared that within the next 12 months every Wall Street institution will have some form of crypto business. He stated: “Software is eating the world. Crypto is going to eat capital markets.”
This bold claim underscores how institutional adoption has shifted from niche to inevitable. The logic goes: if software revolutionised business and the internet changed how capital flows, now crypto is poised to transform not just payments or speculation, but the core infrastructure of capital markets—custody, settlement, trading, asset-tokenization.
Horsley’s viewpoint reflects his firm’s data: Q3 2025 corporate adoption of crypto rose by 40% quarter-on-quarter. That rate of change signals we are approaching an inflection point, and for readers scanning for new crypto assets or blockchain applications, this means getting ahead of the curve matters.
2. Big Traditional Financiers Are Already in Crypto Motion
Major finance institutions are no longer just watching—they’re acting. Horsley highlights that firms such as Bank of America, BlackRock, Goldman Sachs, JPMorgan Chase, UBS, BNY Mellon and CBOE all have active crypto-trading and/or custody initiatives.
Furthermore, many of these institutions are either offering or planning to offer crypto ETPs (exchange traded products) and tokenized securities. This movement represents the transition from crypto as a speculative asset class to crypto as part of institutional product suites—pools, funds, ETPs, and digital securities.
For new asset hunters or developers creating blockchain infrastructure, this means the institutional plumbing is being laid now. The roles of custody, tokenization, and infrastructure are no longer marginal—they are foundational for the next wave.
3. Crypto ETPs & Tokenization: The Infrastructure Layer Goes Live
One of the major shifts is that crypto isn’t just being treated as a speculative asset—it’s being integrated into structured products and tokenization frameworks. Institutional players are offering ETPs tied to crypto, and large financial institutions are stepping into tokenization of traditional assets (stocks, bonds, real-world assets) onto blockchains.
For example, tokenization of equities or other asset-classes means fractionalization, tradability and settlement on-chain. It vastly expands the addressable market for blockchain technology beyond just native cryptocurrency use-cases. The effect? More institutional capital flowing into crypto rails, more use‐cases, and more interoperability between ‘traditional finance’ (TradFi) and ‘decentralised finance’ (DeFi).
From the perspective of readers looking for new crypto assets or blockchain applications, tokenized asset platforms and products supporting institutional issuance/distribution may be fertile ground. Whether you build infrastructure, launch a token, or serve as a service provider, the doorway is opening.
4. The Long-Term BTC Bull Case: Institutional Adoption as a Catalyst
In August 2025, Bitwise publicly suggested that Bitcoin could hit $1.3 million within ten years, citing institutional adoption as a major driver. This aligns with Horsley’s wider thesis: as more capital flows in, supply remains constrained, regulatory frameworks evolve, and the narrative of crypto as a mainstream asset strengthens.
For investors of new crypto assets, the significance is twofold: (1) the “safe-asset” narrative around Bitcoin becomes stronger, lifting the reputation of surrounding infrastructure and altcoins; and (2) it signals that we are likely moving from market participants asking if crypto will be accepted, to how and when incoming institutional dollars land.
Hence, if you’re looking for next revenue sources or new tokens, consider how they might benefit from or amplify institutional pipeline—either through custody services, ETP creation, tokenized securities, or compliance/regtech tooling for institutions.
5. Beyond Trading: Crypto Credit, Borrowing & Real-World Utility
Another dimension of this shift is that blockchain/crypto is moving from trading and speculation toward utility in real finance—credit, borrowing, staking, collateralization. For instance, Bitwise projects a boom in crypto credit and borrowing over the next 6–12 months.
According to the data: crypto lending reached US$53 billion in Q2 2025 (up 27% quarter-on-quarter) and more than US$100 billion in assets staked. Tokenized traditional assets (US stocks market of ~US$60 trillion) could unlock blockchain-based loans for retail and institutional alike.
For blockchain practitioners and asset-seekers, this means there is growing opportunity in infrastructure that enables asset-backed borrowing (retaining crypto exposure while obtaining liquidity), staking services, credit scoring on-chain, collateralization tools, and tokenization of real-world assets.
In short: the utility of crypto is becoming more practical and embedded into financial operations, not just “buy and hold”.
6. Implications for New Crypto Assets & Practical Blockchain Use
Given these shifts, what does it mean for your interest: new crypto assets, revenue sources, practical blockchain use-cases?
- Asset selection: Seek tokens/infrastructure oriented to institutional onboarding: e.g., tokenization platforms, custody layer tokens, staking/infrastructure tokens, financing/borrowing protocols.
- Revenue generation: Services bridging TradFi and blockchain—tokenization-as-a-service, institutional custody, secure staking, compliance/regtech—could yield recurring revenue.
- Use-case development: Practical blockchain use now covers real-world assets, credit/borrowing, and mainstream capital market functions (issuance, settlement, custody). Focusing on utility rather than pure speculation may position you favourably.
- Timing: With a predicted institutional wave in the next 12 months, early entrants who build tooling or token frameworks now may capture first-mover advantage before adoption becomes broad.
- Regulatory/operational risk: Despite optimism, the shift requires regulatory clarity, risk management, institutional grade infrastructural maturity. Your project or asset should anticipate compliance demands and institutional risk standards.
7. Key Takeaways and Forward Path
In sum: what we’re witnessing is more than bullish crypto price talk—it’s a structural transformation. According to Hunter Horsley, crypto is no longer just a fringe asset class but is becoming the infrastructure backbone of capital markets. Traditional finance institutions are already stepping in, tokenization and ETPs are proliferating, and utility beyond trading is expanding.
For new crypto assets and blockchain projects aimed at revenue generation, this is a moment to align with the institutionalisation trend: build or invest in services/infrastructure that facilitate the transition from “crypto curiosity” to “crypto standard”. Whether that means custody, tokenized securities, on-chain lending, staking, or credit tools—the firms that enable the shift will likely capture outsized value.
Ultimately, if your project or investment thesis anticipates not if but when crypto goes mainstream in capital markets, you may position ahead of the wave rather than chasing it. Think in terms of bridging the “Two-Extremes Model” you had described—“Asset-Backed Representation” meets “Autonomous Trust Tender”—this evolution of finance may be exactly in motion.
We will watch the next 12 months closely—this may be the window where adoption accelerates, infrastructure solidifies, and winners emerge. If you’re seeking new assets or practical blockchain implementations, now is the time to build with institutional-grade clarity and real-world utility in mind.
