Cryptocurrency User Base Growth and Its Impact on Blockchain Infrastructure Demand

The global cryptocurrency user base has surged to over 560 million as of 2024, with projections indicating a potential 861 million by 2025 [1]. This growth, driven by emerging markets like India (93.5 million users) and the U.S. (52.9 million users), underscores a paradigm shift in how value is stored and transferred. As user adoption accelerates, the demand for scalable, high-performance blockchain infrastructure is intensifying, creating compelling investment opportunities in Layer-1 networks and crypto payments firms.

The Infrastructure Bottleneck and Layer-1 Innovations

Layer-1 blockchains, the foundational protocols enabling decentralized transactions, are under pressure to scale. Solana, for instance, has emerged as a leader with its 65,000 transactions per second (TPS) throughput and $0.00025 average fee, processing 400 million transactions in 2024 [5]. Its Proof-of-History (PoH) consensus mechanism and 100% uptime in 2024 position it as a critical player in the altcoin season of 2025 [5]. Meanwhile, Ethereum’s Dencun/Pectra upgrades reduced fees by 30%, attracted $27.6 billion in ETF inflows, and solidified its role in institutional portfolios [1]. Despite price volatility, Ethereum’s staking ecosystem—30 million ETH staked (25% of total supply) and 127 million active wallets—demonstrates its enduring relevance [1].

Sui, another Layer-1 contender, has seen DeFi total value locked (TVL) climb to $2.2 billion, driven by its low-latency infrastructure and user-friendly design [4]. These networks are not just competing on speed and cost but also on real-world utility, such as tokenizing real-world assets and integrating AI-driven analytics [1].

Crypto Payments: The Rise of Stablecoins and Institutional Adoption

The expansion of stablecoins is reshaping cross-border payments. Circle’s USDC, with $5.9 trillion in on-chain volume and a 28% market share, exemplifies this trend [2]. Coinbase, a key player in the payments space, reported $1.5 billion in Q2 2025 revenue, with USDC earnings and custody fees contributing $655.8 million [4]. While transaction volume dipped 40% quarter-over-quarter, stablecoin revenue grew 12%, highlighting their role as a buffer against crypto’s volatility [4].

Institutional adoption is further accelerating. JPMorgan and other banks are exploring joint stablecoins for interbank settlements, while projects like BitMine Immersion are acquiring significant ETH positions, signaling confidence in Ethereum’s long-term potential [2]. The SEC’s rescinding of SAB 121 and the approval of spot crypto ETFs have also created a more favorable regulatory environment [1].

Investment Opportunities and Risks

For investors, the key lies in identifying projects that align with user growth and infrastructure demands. Solana’s $375 million in 2024 on-chain revenue and Sui’s 390% token price surge reflect their ability to capture market share [1][4]. Ethereum’s deflationary mechanics—shrinking supply by 0.29% annually—add a unique value proposition [2]. Meanwhile, crypto payments firms like Coinbase and Circle are leveraging stablecoin infrastructure to bridge traditional and decentralized finance, with Arc’s development and tokenized asset offerings expanding their ecosystems [2][4].

However, risks persist. Regulatory scrutiny, liquidity constraints, and macroeconomic pressures (e.g., Ethereum’s $1,400 low in early 2025) could disrupt momentum [3]. Diversification across Layer-1 networks and payments firms with robust revenue models is essential.

Conclusion

The cryptocurrency user base’s explosive growth is a catalyst for innovation in blockchain infrastructure. Layer-1 networks like Solana, Ethereum, and Sui, alongside crypto payments firms such as Coinbase and Circle, are poised to benefit from this demand. As the industry matures, projects that prioritize scalability, real-world utility, and regulatory alignment will likely outperform. For investors, the next 12–18 months present a critical window to capitalize on these trends.

Source:
[1] Introducing the 2025 Global State of Crypto Report [https://www.gemini.com/blog/introducing-the-2025-global-state-of-crypto-report]
[2] Ethereum's Ultrasound Money Moment: Why 2025 Is the Year [https://finance.yahoo.com/news/ethereum-ultrasound-money-moment-why-154713690.html]
[3] Ethereum Q1 2025: Insights on Price, Tech, and Trends [https://blog.amberdata.io/ethereum-q1-2025-insights-on-price-tech-and-trends]
[4] Coinbase Q2 saved by USDC as transaction volume plunges [https://coingeek.com/coinbase-q2-saved-by-usdc-as-transaction-volume-plunges/]