Cryptocurrency adoption has seen significant growth worldwide, with the United Arab Emirates (UAE) and Vietnam leading the way in accepting digital assets.
The latest data from Triple-A showed in particular that about 30.4% or 3 million people in the UAE now own cryptocurrency, placing the nation as a leader in the global fintech arena.
Second Leader and Laggards
Similarly, Vietnam has seen a significant increase in crypto involvement, with 21.2% of its population, equivalent to about 21 million people, also involved in cryptocurrencies.
This trend in Vietnam surpasses that of Singapore, a developed country known for its high level of finance.
The preference for cryptocurrencies in Vietnam points to a broader trend in emerging markets where digital assets are increasingly being viewed as viable means of investment and wealth diversification.
Meanwhile, despite its financial strength, Singapore shows a growing crypto adoption rate of 11.1%, suggesting a cautious yet growing relationship with the sector.
The United States, Iran, the Philippines, Brazil, and Saudi Arabia also show significant adoption rates, highlighting the diverse appeal of cryptocurrencies across different economic contexts.
About 15.6% of the US population owns digital currencies, with about 53 million Americans participating. This interaction is supported by legal events such as the approval of Bitcoin and Ethereum exchange-traded funds (ETFs).
On the other hand, countries like Iran and the Philippines have adoption rates of 13.5% and 13.4%, respectively, showing a strong trend toward digital assets as tools for financial empowerment and wealth creation.
Global Regulatory Trends in Crypto: How Nations are Adapting
Furthermore, as countries around the world adopt digital currency, they seem to be stepping up their regulatory frameworks to regulate the sector.
For example, the Monetary Authority of Singapore (MAS) recently revised the Payment Services Act, introducing a comprehensive regulatory framework.
These amendments include provisions for custody services for digital payment tokens (DPTs), facilitating their transfer, and overseeing cross-border money transfers.
The scope of these regulations also extends to activities involving funds from outside Singapore, giving MAS the authority to impose stricter measures on DPT service providers.
This approach aims to address the risks associated with digital assets effectively. MAS will be able to enforce standards related to anti-money laundering, anti-terrorist financing, consumer protection, and financial stability.
At the same time, MAS has published guidelines setting out consumer protection standards for companies providing DPT services, which will come into force on 4 October.
In contrast, the United States has adopted a stricter stance on crypto regulations. Although it recently approved ETFs for Bitcoin and Ethereum, there is still a strong desire for a crypto candidate to win the upcoming US election, which may open up more opportunities for digital currency in the region.
The featured image was created with DALL-E, a Chart from TradingView
