The crypto market may be quietly setting the stage for its next big surge, even though prices appear to be cooling off right now.

Coinbase, a major crypto exchange, has released a new report suggesting that artificial intelligence (AI) is starting to boost economic productivity in ways that traditional economic data doesn’t yet show. According to the report, these hidden gains could become more visible by 2026 — and crypto could be one of the biggest winners when that happens.

In 2025, the total crypto market cap rose to about $4.2 trillion but then dropped back to around $3 trillion. Bitcoin still holds most of that value, and this pullback has made many believe the market already peaked. But Coinbase sees it differently. They believe this was just an early rally driven by excess cash in the system — not the full impact of AI yet.

From their perspective, what we’re seeing now is not the end of a cycle, but more like a pause before the next wave. They say AI is already improving how people work — speeding up tasks, reducing development time, and helping workers be more productive. But this progress isn’t being captured in standard job or GDP numbers yet.

That means the real economic changes are happening behind the scenes. Once those changes show up in official data, likely in 2026, markets could quickly reprice risk assets like crypto.

One big shift is already happening with institutional investors. Digital Asset Treasuries (DATs) — basically big organizations holding crypto on their balance sheets — have been ramping up their activity. In 2025 alone, they spent billions on crypto, mostly Bitcoin, but also Ethereum and Solana. Unlike past cycles driven by short-term traders, DATs are here for the long haul, treating crypto as a strategic asset.

This signals a change in mindset. Institutions are no longer just buying tokens to sell later at higher prices. Instead, they’re positioning themselves to own and manage valuable block space — a key part of blockchain networks.

Coinbase expects these DATs to evolve further. In the future, they’ll focus more on acquiring block space, using secure storage solutions, and building smart trading strategies that match their risk tolerance. This will depend heavily on clear regulations, which are starting to take shape — especially in the U.S.

Tokenized assets are also gaining ground as collateral in traditional finance. Stablecoins are now being used in faster and safer payment systems, helping reduce risk and free up capital. Meanwhile, regulated DeFi platforms are offering ways to earn yield while staying compliant with rules. This shows that institutional adoption is not just growing in size but also expanding into new areas.

Even though crypto tokens tied to AI have dropped in value since their peak in 2024, Coinbase says it’s not a sign of failure. Development and investment in AI-blockchain projects are still going strong. One exciting area is AI agents that automate blockchain tasks. These tools could make it much easier to launch crypto-based businesses — even for people without coding skills.

Looking ahead to 2026, Coinbase is cautiously optimistic. They don’t expect a wild bull market like in past years. Instead, they see a steadier rise built on real progress — like higher productivity from AI, demographic trends, and stronger crypto infrastructure for institutions.

So while prices dipped from 2025’s highs, it may not be the end of the story. It could just be a reset before the market catches up with the quiet but powerful changes happening underneath — powered by AI and digital assets working together.