Recent crypto developments in Hong Kong could provide a “potential tailwind” to boost crypto activity in the East Asian region, which has been primarily hurt by China-wide bans on trading activity since 2019.
According to Chainalysis' October 2 report, the value of cryptocurrency received in East Asia between July 2022 and June 2023 was only 8.8% globally, making it the fifth most active crypto market. However, Chainalysis said Hong Kong's recent moves could increase that number.
According to Chainalysis data, East Asia's share of crypto transaction value fell from around 30% in 2019 to below 10% in the second quarter of 2022 following a series of crypto-related bans in China.
But Chainalysis noted "bubbling optimism" in Hong Kong, noting that despite the much smaller population, Hong Kong is already a "highly active crypto market" in terms of raw transaction volume.
Between July 2022 and June 2023, the market is estimated to have purchased an estimated $64 billion worth of crypto. This is compared to $86.4 billion in China, despite being just 0.5% of the population on the mainland.
Do you think Hong Kong's interest in the cryptocurrency industry means that China has fully embraced cryptocurrencies? Share your comments with us.#cryptocurrency#HongKong #EastAsia
According to Chainalysis' October 2 report, the value of cryptocurrency received in East Asia between July 2022 and June 2023 was only 8.8% globally, making it the fifth most active crypto market. However, Chainalysis said Hong Kong's recent moves could increase that number.
According to Chainalysis data, East Asia's share of crypto transaction value fell from around 30% in 2019 to below 10% in the second quarter of 2022 following a series of crypto-related bans in China.
But Chainalysis noted "bubbling optimism" in Hong Kong, noting that despite the much smaller population, Hong Kong is already a "highly active crypto market" in terms of raw transaction volume.
Between July 2022 and June 2023, the market is estimated to have purchased an estimated $64 billion worth of crypto. This is compared to $86.4 billion in China, despite being just 0.5% of the population on the mainland.
Do you think Hong Kong's interest in the cryptocurrency industry means that China has fully embraced cryptocurrencies? Share your comments with us.#cryptocurrency#HongKong #EastAsia