Algorand and Layer-1s May Be Poised to Support Tokenized Assets Amid Stablecoin Rulemaking and Adoption Hurdles

• Layer-1 blockchains provide the secure base for tokenized assets and regulated stablecoins.

• Clearer stablecoin frameworks and enterprise tokenization pilots are accelerating on-chain utility and adoption.

• Onboarding, retention and UX remain primary hurdles; projects are prioritizing simplified wallets, gamified flows and developer tooling.

Layer-1 blockchains lead 2025 adoption: learn how stablecoin rules and tokenized assets drive real-world use — read key takeaways and next steps.

What are layer-1 blockchains and why do they matter in 2025?

Layer-1 blockchains are the base networks that secure transactions, validate blocks and provide the guarantees—such as finality and consensus—needed for on-chain value. In 2025 their role matters because emerging stablecoin regulations and tokenized asset initiatives depend on robust layer‑1 performance and predictable security models.

How will stablecoin rules affect blockchain adoption?

Stablecoin rules reduce regulatory uncertainty and encourage institutional participation, which in turn increases demand for reliable base-layer networks. Clearer frameworks enable banks, payment providers and tokenization platforms to build compliant products that rely on layer-1 guarantees for custody, settlement and auditing.

How are tokenized assets changing use cases for layer-1s?

Tokenized assets move traditional securities, real estate shares and commodities onto chains, requiring predictable settlement and interoperability. Layer-1 blockchains that offer low latency, predictable finality and developer tools are becoming the preferred rails for pilots and enterprise deployments.

How are projects addressing onboarding and retention challenges?

Onboarding and retention remain core obstacles to mainstream adoption. Industry teams are implementing three practical approaches:

1. Simplified wallets and built-in custody flows to reduce friction for new users.
2. Gamified onboarding and progressive disclosure of complexity to improve retention.
3. Improved developer tooling and SDKs to accelerate wallet and app integration.

Marc Vanlerberghe, chief strategy and marketing officer at the Algorand Foundation, highlighted that “Layer‑1s are still the backbone of the industry. Everything else builds on top of them. You can innovate endlessly at the edges, but without a secure and scalable base, none of it holds.”

What are the practical steps for projects to scale on layer-1 networks?

Projects must prioritize resilience, developer experience and clear compliance paths. A concise five-step approach helps teams prepare for production-scale adoption:

Adopting these steps helps teams convert pilots into production services that leverage layer‑1 security and scalability.

Frequently Asked Questions

How do layer-1 blockchains support tokenized finance?

Layer-1 blockchains provide immutable ledgers, settlement finality and programmable rules that allow assets to be tokenized, transferred and audited on-chain. They act as the trusted record layer for asset ownership and compliance metadata.

What should developers prioritize for production deployments?

Developers should prioritize security audits, deterministic finality, predictable gas/fee models and clear compliance flows. These areas reduce operational risk and improve enterprise confidence.

Key Takeaways

• Layer-1 importance: Layer-1 blockchains are transitioning to essential infrastructure for regulated stablecoins and tokenized assets.
• Adoption focus: Clear stablecoin rules and enterprise pilots boost adoption but onboarding UX must improve.
• Action items: Teams should define a North Star, invest in developer tooling and optimize onboarding to scale.

Conclusion

As stablecoin rules take shape and tokenized assets enter mainstream markets, layer-1 blockchains are proving their staying power as the secure infrastructure for real-world blockchain applications. Industry progress now hinges on improved onboarding, robust developer tooling and adherence to evolving regulatory frameworks — a path that will define the next phase of adoption.

Publication date: 2025-09-26. Updated: 2025-09-26. Author: COINOTAG.