A 2024 report on crypto adoption by Chainalysis shows that countries in Central and Southern Asia, along with Oceania, are leading the way in adopting cryptocurrencies this year.
According to the report, seven of the top 20 countries for crypto adoption are from this region. Central and Southern Asia, a vast area with similar cultures and geography, features expansive lands, mountains, deserts, and fertile plains.
Central Asia includes Kazakhstan, Kyrgyzstan, and Uzbekistan, while Southern Asia (or South Asia) encompasses India, Pakistan, and Bangladesh.
Oceania, consisting of many islands in the Pacific Ocean, includes Australia, New Zealand, Papua New Guinea, Fiji, the Marshall Islands, Palau, Samoa, and Tonga.
The seven countries in this region leading in crypto adoption are India, Indonesia, Vietnam, the Philippines, Pakistan, Thailand, and Cambodia.
Young population, remittance, and access to technology
In India, a major driver of crypto adoption is the country’s young population—over half of the people are under 25. Many are tech-savvy and interested in using cryptocurrencies as a new investment avenue.
The growth of mobile technology and fintech has simplified access to crypto platforms, resulting in around 100 million crypto owners in the country.
In Indonesia, the country is emerging as a leader in crypto value received, also driven by its young population and growing acceptance of digital currencies. Cryptocurrencies are particularly popular for offering cheaper and faster ways to send money, crucial for a nation that receives significant remittances.
Vietnam and the Philippines have also seen a rise in crypto use. In Vietnam, people are drawn to cryptocurrencies for their high potential returns and the opportunity to engage with new technology.
In the Philippines, many use crypto for remittances, as it provides a fast and cost-effective way to send money home from abroad. The government is also beginning to explore regulations, helping to legitimize the crypto market.
Per a Chainalysis report, darknet market revenue hit $1.7 billion; and 150,000 pump-and-dump tokens were launched
In Pakistan, the rising interest in cryptocurrencies is driven by the need for financial inclusion and access to global markets. Many view crypto as a way to bypass traditional banking systems, which can be cumbersome. The government is beginning to acknowledge the potential of cryptocurrencies and is discussing regulations.
Thailand and Cambodia are also significant players in the region. Thailand has established clear regulations for cryptocurrencies, encouraging investment from both individuals and businesses. Meanwhile, Cambodia is exploring its own digital currency, which could further boost interest in crypto.
Increase in crypto activity globally
Chainalysis observed that between the last quarter of 2023 and the start of 2024, the global value of crypto activity increased significantly, surpassing the levels seen during the 2021 crypto boom.
“Last year, growth in crypto adoption was driven primarily by lower-middle-income countries,” Chainalysis revealed. “This year, however, crypto activity increased across countries of all income brackets, with a pullback in high-income countries since the beginning of 2024.”
In terms of services, decentralized finance (DeFi) saw a major rise in Sub-Saharan Africa, Latin America, and Eastern Europe. This has likely fueled a surge in the use of alternative cryptocurrencies in these regions.
