In early 2025, regulators in the US and EU affirmed the status of public blockchains as the standard for digital assets, reflecting support and legitimacy for these technologies.
Affirmation of Public Blockchains' Legitimacy
Corporate Layer 1 (L1) solutions do not affect the status of public blockchains as a regulatory standard. US and EU regulators continue to support their legitimacy, integrating public blockchains into their legal frameworks.
Impact of New Guidelines on the Market
Key organizations such as the OCC and FDIC issued guidance allowing banks to engage with crypto assets. This builds institutional investor confidence and directs resources towards public blockchain development. Ethereum and other chains remain preferred for custody and settlements.
Future of Public Blockchains
New regulatory frameworks reinforce network credibility, linking financial and technological realms. Sustainable growth and expansion of utility are expected for public blockchains. CITE_W_A "The agency's new, more open-minded approach toward digital assets and blockchain innovation... aims to treat these activities similarly to other permissible banking activities..." — Travis Hill, Acting Chair, FDIC.
Thus, the affirmation of public blockchains' legitimacy and new regulatory instructions create favorable conditions for further growth and development of technologies in this area.