Taiwan is gradually opening up entrusted investment in overseas virtual asset spot ETFs to provide more choices for cryptocurrency investors. This article uses a simple method to roughly estimate how much potential funds Taiwanese investors may bring to Bitcoin? (Previous summary: Taiwan opens overseas Bitcoin spot ETF! Take a look at the purchase conditions and specifications at once) (Background supplement: Bank of New York Mellon enters the Bitcoin ETF custody track, challenging Coinbase’s dominant position) In January this year, the U.S. Securities Exchange The Commission (SEC) approved the Bitcoin spot ETF, with a total of 12 listed. To date, net inflows into these ETFs have reached $18.8 billion. After waiting for more than half a year, the Financial Supervisory Commission yesterday (30th) officially opened professional investors to invest in overseas virtual asset spot ETFs through multiple entrustments (but did not open virtual asset futures ETF trading). Legislator Ge Rujun, who continues to fight for the rights of the crypto public in Congress, mentioned that although there are still restrictions on purchasing Bitcoin spot ETFs after the current opening, it is a big step forward for Taiwan. How much revenue will Taiwan’s opening of multiple orders to buy Bitcoin spot ETFs bring? Although the Financial Supervisory Commission is currently only open to professional investors, it can be expected that one day all investors will be able to purchase Bitcoin spot ETFs through re-entrustment. In the following article, let’s briefly estimate how much purchasing power Taiwanese investors may bring to Bitcoin? 1. Taiwan has a population that invests in cryptocurrency: Method 1: Exchange Global Rough Estimate Method According to the global population in 2024 of approximately 8.16 billion, Binance, the cryptocurrency exchange with the most users in the world, currently has approximately 200 million users, accounting for 10% of the global population. 2.45%. Based on this calculation, Taiwan's population is approximately 23.42 million, and the 2.45% ratio calculates that Taiwan's encrypted population is at least 573,790 people. Method 2: Estimation based on global cryptocurrency ownership status The "Global Cryptocurrency Ownership Status in 2024" report recently released by Triple-A, a Singapore-based cryptocurrency payment company, pointed out that the number of people holding cryptocurrency in the world has reached 562 million, accounting for approximately 562 million of the global population. 6.8%. Based on Taiwan's population of 23.42 million, the 6.8% ratio can be estimated to have Taiwan's encrypted population of approximately 1,592,560 people. Method 3: Extrapolation from Taiwan’s local exchange data Taiwan’s largest local cryptocurrency exchanges, MaiCoin Group and BitTool Group, each have more than 1 million users.According to these data, Taiwan’s crypto population is approximately between 1 million and 2 million, corresponding to a ratio of approximately 4.265% to 8.53%. Combining these three methods, it can currently be estimated that the current population of Taiwan’s cryptocurrency owners accounts for approximately 2.45% to 8.53% of the total population, equivalent to 573,000 to 2 million users. 2. Taiwan’s re-entrust transaction amount According to the latest statistics from the Securities Dealers Association, Taiwan’s re-entrust transaction amount reached 4.48 trillion yuan last year in 2023, an increase of 21.4% from last year, exceeding the peak of 4.31 trillion yuan in 2021 and setting a record high. The cumulative number of valid account openings increased from 3.7981 million in 2022 to 4.6555 million, setting the fastest growth rate in history, with an increase of 857,400, the vast majority of which are non-professional investors. Calculated in this way, the average transaction amount per user is approximately 962,300 yuan. If calculated based on the number of valid account openings of 4.6555 million, if there are currently cryptocurrency investors in Taiwan who also open accounts, the number will account for approximately 12.3% to 42.95%. If this part of the population uses multiple orders to buy Bitcoin, the estimated transaction amount may reach a maximum of NT$0.55 trillion to NT$1.924 trillion. Of course, this method is a simple calculation, and one premise is that those who originally bought coins will switch to using multiple orders to buy Bitcoin ETFs. Analysts Recommend Allocation to 3% Bitcoin Strategy On the other hand, if the institution allocates to 3% Bitcoin strategy as per analyst recommendations. If all investors in Taiwan who used multiple entrustment transactions last year considered buying 3% of Bitcoin, it would be expected to bring in a transaction amount of 134.4 billion yuan. Calculated in this way, the average transaction amount per user is approximately 28,869 yuan on Bitcoin-related ETFs. No matter what, it provides additional options for Taiwanese investors to embrace Bitcoin. Related reports: Taiwan opens overseas Bitcoin spot ETF! A quick look at purchase conditions and regulations. The Financial Supervisory Committee will shoot five arrows to "make Taiwan an asset management center in Asia" to discuss the financial zone and open up cryptocurrency investment? Taiwan’s special anti-fraud law includes “crypto exchanges” in the joint defense! The Financial Supervisory Commission has announced that the draft of 4 sub-laws will be released before the end of the year. "Taiwan's "recommended" purchase of Bitcoin ETFs will be lifted. Let you estimate how much new funds can be brought to BTC? 〉This article was first published in DongZu BlockTempo "DongZu DongTen - the most influential blockchain news media".

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