January 14, 2025
By Our Correspondent
In spite of regulatory challenges, Asia is emerging as the central hub for cryptocurrency, accounting for 60% of users worldwide. A recent analysis conducted by Foresight Ventures and Primitive indicates that the continent generates the highest proportion of global liquidity, with five Asian nations featured in the top 10 of the global crypto adoption index for 2024.
The study highlights that Asia’s significant share of global crypto users underscores its pivotal role in the adoption of digital currencies. This leadership is largely attributed to the activities of centralized exchanges (CEX) and price-sensitive communities, particularly in countries such as India, Vietnam, and Indonesia.
Singapore is distinguished as a frontrunner, having recorded nearly one billion dollars in cryptocurrency transactions during the second quarter of 2024. Additionally, the city-state has granted 13 new crypto licenses, effectively doubling the number issued in the previous year. This swift advancement positions Singapore as a benchmark for cryptocurrency payments and regulatory clarity.
In parallel, nations like Indonesia and Vietnam are ranked among the top 10 in the global crypto adoption index. Their user base, driven by a demand for innovative solutions, plays an active role in the sector’s expansion, further solidifying Asia’s preeminence.
Contrary to common perceptions, the cryptocurrency market in China remains vibrant despite stringent regulations. Data from Pump.fun, a prominent platform focused on Solana-based memecoins, reveals that 5.9% of its traffic originates from Chinese-speaking regions, including mainland China, Hong Kong, and Taiwan.
The Chinese crypto community is particularly noted for its enthusiasm for meme tokens on the Solana blockchain, reflecting a strong interest in high-risk investments. Young investors are adept at navigating restrictions through decentralized finance (DeFi) and over-the-counter (OTC) trading mechanisms.
Hong Kong serves as a vital entry point to the Chinese market, providing a more adaptable regulatory environment. This facilitates investors’ access to cryptocurrencies while preserving strong connections with mainland China.
Asia, and China in particular, remains instrumental in shaping the global cryptocurrency landscape. Despite certain restrictions, it exerts a considerable impact on market trends and plays a significant role in the development of the industry.
