The Next Phase of Hedera Explained – New CEO’s Vision

The Trump administration’s pro-crypto stance could serve as a powerful tailwind for the vision of Charles Adkins, who recently assumed the role of CEO of the Hedera Foundation.

Adkins, a seasoned leader with experience at Polygon Labs, Aptos, and as former President of Hedera Hashgraph, LLC, has outlined an ambitious roadmap for Hedera’s next phase, emphasizing decentralized finance (DeFi), tokenization, AI integration, and digital identity solutions.

Speaking on the HBAR Bull podcast Adkins shared his vision for the next phase of Hedera:

• Increased focus on retail users: A shift towards making Hedera more user-friendly and accessible for everyday consumers.
• AI integration: Leveraging artificial intelligence capabilities within the Hedera platform.
• Tokenization and digital identity: Prioritizing development and implementation of tokenized assets and secure digital identity solutions.
• Ecosystem growth: Encouraging more developers to build applications on Hedera by facilitating new token launches and smart contract usage.
• Broader market adoption: Expanding Hedera’s reach beyond enterprise use cases to include more consumer-oriented applications.

Impact on the Cryptocurrency Sector and Hedera’s Role

The administration’s policies—deregulation, institutional support, and a potential Bitcoin reserve—align closely with Adkins’ goals, potentially amplifying Hedera’s impact on the cryptocurrency sector and the broader “Future of Money.” Here’s how these elements intertwine:

The Trump administration’s creation of the President’s Working Group on Digital Asset Markets, tasked with delivering a regulatory framework by July 2025, promises the clarity Adkins has emphasized as critical for scaling DeFi on Hedera.

In a December 2024 statement, Adkins noted, “We are setting the stage for lasting impacts across the entire ecosystem,” highlighting plans for a transparent on-chain grant management platform launching in Q2 2025. This platform aims to democratize funding decisions, a move that could thrive under lighter SEC oversight—such as the rollback of SAB 121—allowing Hedera to attract more developers and enterprises to build DeFi solutions.

Reduced regulatory friction could accelerate Hedera’s goal of simplifying access to secure digital asset management, positioning it as a leader in practical, user-focused DeFi applications.

Tokenization and Real-World Assets (RWAs)

Adkins has long championed tokenization, as seen in his December 2023 X post: “Let’s get REAL about RWAs and Hedera Token Service (HTS). Real-World Asset tokenization on @hedera may work in some fantastic ways for your organization.”

The administration’s banking access reforms and stablecoin support could supercharge this vision. By tokenizing illiquid assets like real estate or art on Hedera’s high-throughput, low-cost network, Adkins aims to bridge traditional finance and crypto.

A strategic Bitcoin reserve might inspire similar state-backed tokenization experiments, and Hedera’s enterprise-grade infrastructure—backed by its Governing Council of global giants like Google and IBM—positions it to capitalize on this trend, potentially outpacing competitors like Ethereum in RWA adoption.

AI and Blockchain Synergy

Adkins’ focus on AI integration dovetails with the administration’s innovation-first ethos. Hedera’s recent collaboration with Intel, NVIDIA, and EQTY Lab on Verifiable Compute—a solution for transparent AI governance—aligns with his vision of embedding accountability into emerging technologies. In a January 2025 interview, Adkins stated, “AI and blockchain together can improve lives by delivering lower costs and greater transparency.”

A deregulated environment could hasten Hedera’s rollout of AI-driven tools, such as the upgraded Hedera Guardian 3.0 for sustainability tracking, making it a go-to network for enterprises seeking scalable, ethical tech solutions. This could redefine money’s future by embedding trust into digital systems beyond mere currency.

Strategic Positioning in a Crypto-Friendly U.S.

Trump’s pledge to make the U.S. the “crypto capital of the planet” resonates with Adkins’ enterprise-centric approach.

Hedera’s governance model, praised by Adkins for its appeal to large organizations, could gain traction as U.S. banks and institutions—freed from prior debanking pressures—engage with crypto. The administration’s rejection of a Federal Reserve CBDC in favor of private-sector solutions like Hedera’s proof-of-stake network (handling over 33 billion transactions in 2023) could elevate its status.

Adkins envisions Hedera as an invisible backbone: “In five years, everybody will be using [Hedera] without even knowing it,” he said in a 2024 interview. This aligns with a future where crypto underpins everyday finance, amplified by policies fostering U.S. competitiveness.

Broader Implications for the Future of Money

Hedera as a Hybrid Financial Layer

Adkins’ strategy leverages Hedera’s unique hashgraph technology to blend decentralization with enterprise reliability, a synergy that could flourish under Trump’s policies.

The administration’s stablecoin push and Hedera’s focus on digital identity solutions (e.g., for secure asset management) might create a multi-tiered financial ecosystem—part decentralized, part state-endorsed. This hybrid model could redefine money as a fluid, interoperable concept, where Hedera’s network facilitates seamless transitions between fiat, stablecoins, and tokenized assets.

Global Reach and Adoption

With the U.S. potentially leading crypto innovation, Adkins’ vision of Hedera as a global DLT standard gains momentum. His emphasis on “financial inclusivity through DeFi” and partnerships with firms like Hitachi (joined the Hedera Council in 2024) could see Hedera penetrate supply chains, sustainability efforts, and emerging markets.

The Trump administration’s economic nationalism might incentivize Hedera to anchor its growth in the U.S., but its decentralized ethos ensures it can scale worldwide, challenging centralized monetary systems.

Risks and Opportunities

The deregulatory wave could fuel a speculative surge in HBAR (up 2.2% to $0.2658 post-Adkins’ appointment) and other assets, a double-edged sword Adkins must navigate. While this aligns with his goal of retail and enterprise adoption, unchecked growth risks volatility—echoing FTX’s 2022 collapse. Hedera’s robust governance and Adkins’ experience at scale (e.g., managing 120+ staff at the U.S. Treasury) could mitigate this, ensuring the network balances innovation with stability, a key to reshaping money’s future.

Conclusion

Charles Adkins’ vision for Hedera’s next phase—centered on DeFi, tokenization, AI, and broad adoption—finds fertile ground in the Trump administration’s crypto-friendly policies. By July 2025, when the Working Group’s framework emerges, Hedera could be poised to lead a transformative shift, integrating digital assets into mainstream finance while pushing the boundaries of what money can be.

Adkins’ enterprise savvy and the administration’s deregulatory zeal might just make Hedera a linchpin in a decentralized yet pragmatic financial future, though success hinges on managing hype, volatility, and global competition.