3 Crypto Investment Themes to Watch in 2026

Ethereum transaction capacity jumps 33% to 80 million gas in January, but two technical optimizations must land first. Developers confirmed the timeline at this week's All Core Developers meeting, marking the fourth gas limit increase this year as the network races to scale while preserving its decentralization advantage over faster competitors.

Ethereum's Aggressive 2025 Scaling Timeline

Ethereum has executed three gas limit increases this year alone, each expanding the network's ability to process transactions and smart contract operations (the computational work that powers DeFi apps, NFTs, and other blockchain applications). The limit rose from 30 million to 35 million in February, jumped to 45 million in July, and reached 60 million in November.

This aggressive scaling timeline reflects a coordinated push among developers and researchers to reach 180 million gas by the end of 2026. That target would represent a sixfold increase from the start of 2024, fundamentally reshaping Ethereum's throughput without sacrificing the decentralized validator network that distinguishes it from centralized competitors.

How Gas Limits Control Network Capacity

The gas limit determines how many transactions and smart contract operations can fit in each Ethereum block (a batch of transactions processed roughly every 12 seconds). Raising this ceiling from 60 million to 80 million directly increases throughput—the number of transactions the network can handle per second—while potentially lowering transaction fees through increased supply of block space.

According to Christine Kim, vice president of research at Galaxy Digital, Nethermind representatives indicated at Monday's meeting that developers should be ready to proceed after the next BPO hard fork (a scheduled network upgrade requiring all nodes to update their software) on January 7. The first BPO fork on December 9 increased blob capacity (large data chunks that store transaction information off the main chain) by 66%, with the second fork expected to deliver another 66% boost.

Two Infrastructure Upgrades Required First

Ethereum Foundation developer operations engineer Barnabas Busa noted that two client-level optimizations must be completed before the gas limit increase can proceed safely. The first is partial blob responses on the execution layer (the part of Ethereum that processes transactions), which allows nodes to request and receive only portions of blob data rather than full payloads, reducing bandwidth requirements.

The second required optimization is the max blobs flag on the consensus layer (the part of Ethereum that coordinates validators and maintains network security). This feature lets node operators set limits on blob processing to prevent resource exhaustion on hardware-constrained systems. Both optimizations ensure that the network can handle increased capacity without creating bottlenecks that could destabilize block production or validator participation.

The 180 Million Gas Target and What Comes Next

Developers will reconvene January 5 to confirm the precise timing for the gas limit increase following the second BPO hard fork. The meeting will determine whether the two required optimizations have been successfully implemented across major Ethereum clients like Geth, Nethermind, and Besu.

While an 80 million gas limit won't match the raw speed or cost structure of Layer 1 competitors like Solana (which processes thousands of transactions per second at fractions of a cent) or Sui, it strengthens Ethereum's position as a secure settlement and execution layer. The upgrade preserves decentralization—roughly 900,000 validators currently secure the network, compared to fewer than 2,000 validators on most competing chains—while expanding capacity to meet growing demand from Layer 2 rollups and DeFi protocols that depend on Ethereum as their base layer.

Three Investment Themes for 2026

After a volatile 2025, investors are rethinking crypto cycles. Here are three investment themes that will shape the market's next phase in 2026.

1. Bitcoin's Evolving Market Structure: Bitcoin is now deep into its fourth halving epoch, and historically, the period following each halving has coincided with the most aggressive phase of the bull market. In prior cycles, Bitcoin typically reached its peak roughly 12 to 18 months after the halving, a pattern that has long shaped investor expectations.

2. Stablecoins as a Foundational Layer: Beyond Bitcoin, few blockchain applications have demonstrated clearer real-world utility than stablecoins, digital tokens designed to maintain a stable value by being pegged to fiat currencies such as the US dollar. Over the past 18 months, the stablecoin market has expanded rapidly, surpassing $300 billion in total circulation, led by dollar-backed tokens such as USDt (USDT) and USDC (USDC).

3. Real-World Asset Tokenization: Real-world asset (RWA) tokenization has evolved rapidly from a niche experiment into one of the most institutionally driven sectors in crypto. Major financial players, including BlackRock, Franklin Templeton, and Goldman Sachs, have already launched or participated in tokenized funds, bonds, and settlement platforms, placing traditional assets directly onto blockchain rails.

For investors, the appeal of RWAs lies less in short-term speculation and more in structural adoption. Tokenization promises faster settlement, reduced counterparty risk, and global accessibility. As regulatory frameworks mature and financial incumbents expand their onchain offerings, RWAs could emerge as one of the most durable crypto investment themes heading into 2026.