The Asian continent has contributed heavily to the global adoption of cryptocurrency and blockchain technology despite the biting bear market. Worldwide, 6 of the top 10 countries ranked by grassroots crypto adoption are Asian countries. The list leads with India, Vietnam at number 3, Philippines at 6, Indonesia in 7th place, and Pakistan and Thailand in the 8th and 10th positions, respectively. Chainalysis, who conducted the research, described grassroots adoption of cryptocurrency as an index that considers people putting “the biggest share of their money into cryptocurrency.”
Residents in Asian countries are turning to crypto en masse for several reasons, including the general explosion of the digital economy and the inherent transparency in blockchain technology. The following are three of the most promising crypto countries in Asia:
India
India has a history of stringent tax laws and continuous crypto crackdown by government authorities. However, despite government opposition, the country is leading the way with grassroots crypto adoption. India is now the second-largest crypto market ranked by raw estimated transaction volume, right after the United States.
Some observers have suggested that inflation is a major reason many developing countries adopt cryptocurrencies. The push for crypto ownership and general adoption in India is evidently stronger than the government’s high crypto tax, and is not a deterrent. The Indian government taxes crypto gains at 30%, higher than equities and other investments. It also places a 1% tax deducted at source (TDS) levy on all crypto transactions. Nevertheless, the crypto value received in India crossed $250 billion between July 2022 and June 2023.
Malaysia
Malaysia introduced the Prescription Order 2019, with specifics that guide the use and adoption of cryptocurrency in the country. Malaysia does not consider crypto assets as legal tender or an officially recognized medium of exchange. However, the government has not outlawed the use or ownership of cryptocurrencies (source: http://www.basketballinsidersmalaysia1.com/online-casinos/).
A recent survey of 56 countries and territories shows Malaysia has one of the world’s highest adoption rates. According to the survey, Malaysia has the 8th highest rate of respondents who have owned or used cryptocurrencies, at 23% of the population. The survey also shows a continuous increase in this percentage over the last few years, with 12% in 2020, 16% in 2021, 20% in 2022, and 23% in 2023. According to Malaysia’s Securities Commission, Malaysians traded digital assets and cryptocurrencies worth MYR 16 billion ($3.85 billion) between August 2020 and September 2021.
Vietnam
There are several reasons why the Vietnamese people are heavily driving the adoption of cryptocurrencies. One major factor is the country’s lack of a proper regulatory framework. Since there are no stringent tax requirements on the use of digital assets, citizens are not hindered from spending considerably on crypto purchases. In addition, Vietnam has a large percentage of working-class adults, up to 70%, according to some estimates. Studies also show that the Southeast Asian country will have about half of its population in the middle class by 2030. The generally young and tech-forward population will likely continue to drive crypto adoption in the country.
