As Asia becomes a new center of gravity for the cryptocurrency markets, trading volumes in Europe and the US are declining.
Crypto trading volumes are decreasing in the US and Europe, while increasing in the Asian region, according to a report. The report, prepared according to trade volumes, also reveals the effects of recent events.
Crypto Trading Volumes Rise in Asia
Countries like Singapore, Japan, South Korea, and Hong Kong are attracting the attention of crypto investors and marketplaces, with new regulatory regimes and less uncertainty. According to data compiled by CryptoQuant, Bitcoin trading is predominantly increasing during Asian hours, while decreasing during US and European hours.
The reason for the increase in the volume of cryptocurrencies in Asia is that there is less uncertainty for institutions.
Uncertainties in the US make Asia a major hub for digital asset trading. This shift is happening, especially despite the ban on crypto trading in China and harsh taxation in India curbing activity.
Chuan Jin “CJ” Fong, head of sales for Asia-Pacific and Europe, Middle East and Africa, says Asia is a huge market for new users. Fong predicts that trade will continue to shift from the US and Europe to Asia.
This trend started before the US Securities and Exchange Commission (SEC) introduced the restrictions. The SEC has sued exchanges such as Gemini, Binance, Coinbase, and Huobi Global and has identified many digital tokens as securities. This has increased sales in these tokens.
As cryptocurrency regulations progress in Europe, the EU-wide Crypto Asset Markets regime will come into effect in 2024. The UK, on the other hand, creates its own rules, regulating some activities popular in the industry more strictly.
35243
