How the crypto market will change in 2026: infrastructure, regulation, and new services
The crypto market is changing rapidly: in 2020–2021, there was a boom in decentralized finance (DeFi) and non-fungible tokens (NFTs), while in 2024–2025, meme coins, AI tokens, and tokenization of real-world assets (RWA) came to the forefront.
DeFi 2.0: liquidity automation and insured smart contracts
Experts believe the trend of decentralized finance will return to the crypto market with renewed strength, but this time the focus will be on solving the core problems of the first DeFi protocols.
The main aspects of DeFi 2.0, according to experts, will include:
- Improving blockchain network scalability through Layer 2 (L2) solutions and ZK-rollup-based technologies;
- Automating liquidity pools using risk-hedging strategies and insuring smart contracts against vulnerabilities;
- Using native reserves to protect investors from financial losses;
- Integration of artificial intelligence (AI) technologies, which will become the "brain of DeFi";
- Cross-chain compatibility and multi-chain architecture (according to forecasts from Lifi and Socket, more than 78% of DeFi market transactions will pass through bridges and inter-network aggregators);
- The emergence of new compliance standards for DeFi platforms and adherence to KYC/AML requirements (investor identification, "whitelists" for liquidity pools).
Analysts predict the appearance of a universal inter-blockchain communication standard (IBC 2.0), similar to TCP/IP for the Internet.
A new trend in the DeFi market in 2026 may also be the Protocol-Owned Liquidity (POL) approach, where decentralized protocols directly buy back their liquidity.
Platforms like Olympus DAO, Frax Finance, and Thorchain have already implemented such initiatives. According to expert forecasts, by 2026, the number of DeFi protocols using POL may reach 40%.
Global regulatory standards
The emergence of new legislative projects such as the EU's Markets in Crypto-Assets (MiCA) eliminates legal chaos and brings clarity to the regulation of digital assets.
Following the EU's example, the United States is preparing several legislative initiatives, such as the GENIUS and STABLE Acts, aimed at regulating the stablecoin market. Another comprehensive initiative by the U.S. Securities and Exchange Commission (SEC), known as Project Crypto, is focused on modernizing cryptocurrency regulations, including integrating DeFi into traditional economic sectors.
The U.S. Congress is also considering the CLARITY Act (Digital Asset Market Clarity Act), which introduces a two-tier system for crypto assets (digital commodities and mature blockchain systems) and requirements for Web3-related firms.
The Asian region is not lagging. For example, Hong Kong legalized retail cryptocurrency trading, while Japan expanded the list of permitted assets.
According to the International Monetary Fund (IMF), only 45% of countries currently have a clear cryptocurrency regulatory framework, but experts note that by 2026, this figure will reach 70%. At the same time, the number of licensed crypto exchanges is expected to grow from 180 to 300. Analysts also predict the emergence of an international supervisory body (a FATF equivalent for cryptocurrencies).
On one hand, regulation ensures transparency and legal protection, but on the other hand, it may slow innovation in the cryptocurrency sector. Experts believe that in cases of excessive regulation, some Web3 projects may relocate to jurisdictions with more lenient regimes, such as Switzerland, Singapore, and the UAE.
Infrastructure blockchains
Experts believe that in 2026, major Layer 1 blockchains will come to the forefront, serving as the "operational backbone" of the entire DeFi sector.
Ethereum will continue to dominate the DeFi, NFT, and institutional decentralized applications sectors, with its ecosystem accounting for 65% of the total value locked (TVL) in DeFi.
In addition to Ethereum, the key DeFi players in 2026, according to experts, will include:
- XRP (leader among blockchains for banking integrations);
- Solana (integration of payment solutions from Visa and Shopify);
- Cardano (implementation of Hydra technology for scaling);
- Polkadot (development of parachains and cross-chain messaging (XCM));
- NEAR Protocol (implementation of sharding mechanisms (Nightshade) and blockchain abstraction);
- Avalanche (hybrid blockchain model and high resilience to failures).
According to analyst forecasts, in 2026, the 10 most significant altcoins could account for about a quarter of the entire cryptocurrency market capitalization.
Capitalization of the RWA sector is also expected to grow, reaching an estimated $100 billion by 2026, according to Boston Consulting Group.
Super apps
SEC Chairman Paul Atkins believes that the next stage in Web3 development will be the emergence of "super apps" that integrate multiple crypto services into a single interface.
For example, the major U.S. crypto exchange Coinbase launched Base App, which combines a social network, mini-apps, chat, payments, and digital asset trading.
Other major crypto market players with established ecosystems, such as Robinhood, Binance, and OKX, which already include both centralized and DeFi solutions, may follow Coinbase's path.