Asia Morning Briefing: Regional Crypto Power Balance Is Shifting as Japan 'Ready to Pop’
At Token2049 in Singapore, a significant shift in Asia's crypto landscape was discussed, with Japan emerging as a leading crypto market, overtaking Singapore and Hong Kong. Japan is benefiting from an established regulatory framework that fosters institutional growth, especially after the regulatory strictness following past scandals like Mt. Gox and Coincheck. This proactive approach has resulted in a more attractive environment for institutional investments and services, unlike Singapore, which has tightened rules and increased compliance costs, causing some firms to relocate. As of 2025, Japan is slightly easing regulations, allowing institutional staking and clarifying yield offerings. This framework now provides predictable oversight and investor protection, enhancing Japan's appeal. Meanwhile, Bitcoin surged past $126,000 due to non-institutional demand, with Ethereum also gaining traction amid increased market activity. The competition among crypto hubs has shifted focus to how Singapore and Hong Kong will respond to Japan's rising influence in the crypto sector.
Source 🔗