Cryptocurrency License in Asia: Forecast of 2022’s Hottest Picks
Asia was always at the forefront of innovation and technological advancements. Due to a sharp increase in cryptocurrency adoption from around the world, Asian countries managed to send a message to the crypto community, which is very loud and clear: obtaining a blockchain permit in Asia is a great investment in the future. High-income Asian investors and reputable companies spare no expenses to pursue blockchain-based solutions and invest in the growing crypto market. Read on to learn about the present situation and our assumptions and guesses about what might happen next year.
According to a recently published report by Messari, most crypto transactions take place in Asia. Up to 32% of the crypto trade occurs across Asia. The region is currently responsible for approximately 96% of the BTC futures market. Most of the volume occurring via futures markets happens on platforms without any crypto license in Asia (unregulated crypto jurisdictions). Eventually, we will see that this will change as more and more jurisdictions start implementing frameworks for running a crypto business.
Top Technology for Fast Profit
Even though crypto is a far cry from “get rich quick” schemes, there’s still a very palpable sense of urgency for regulators. A large part of the Asian population has pretty much jumped at the first opportunity to participate in crypto trading. Take already the crypto cafés in Thailand, where traders and people who are interested can drink a coffee and speak about the crypto market. The countless success stories of various token-holders who get rich over-night, drove even more people to get involved and participate in the cryptocurrency market. But what about regulations in this market? Why are there so many scams and uncertainties in crypto licensing? Let’s jump a bit deeper.
At the time of writing, crypto trading in Asia is a booming and a fast-growing industry. With the fast adoption pace of crypto, many individuals understand that there is a growing need for various crypto services. This is also understood by the regulating bodies, where we can see that one after the other starts to implement crypto frameworks, have debates about crypto taxation and discuss the regulatory risk of crypto licenses.
Some Asian countries did introduce a crypto permit, which is one of the reasons why you see so many people and businesses obtain their cryptocurrency permit in Asia. Not too long ago, we mentioned that in South Korea at least a quarter of the working population either already does or would like to participate in the digital currency market.
Projecting the Most Popular Countries for Crypto Registration
Below, we are going to mention a few options that we think are going to be extremely popular with people looking to get a cryptocurrency permit in Asia in 2022. We made this list based on the clients are aiding to obtain the best corporate structure for a crypto business in Asia. This is a forecast of what there might be coming in Asia and its crypto community. Remember: In order to have a good functioning business, the legal set-up and corporate structure is fundamental. How often have seen a wrongly picked jurisdiction just to have every growth of the project slowed down significantly. Every business should pick a suitable jurisdiction based on its main strategic interests and specific needs, not generalized write-ups.
Popular Option #1: Crypto Company in Malaysia
There is not a single doubt about it: Malaysia is a progressive country that knows full well that crypto is going to become a beneficial force for its economy and all other sectors in the coming years. The crypto license in Malaysia brings a lot of investments to the country.
Advantages
- It’s a forward-thinking country that embraces ambitious projects
- Popular choice for fintech projects with a proven success record
- Straightforward process of obtaining a crypto license in Malaysia
- Lighter compliance framework than most other crypto exchange jurisdictions
Disadvantages
- Malaysia might be considered less prestigious than some other Asian jurisdictions
Latest Developments: Recently, Eddin Syazlee Shith (previous Deputy Minister in the Prime Minister’s Department in charge of Economic Affairs since August 2021) went on to say that one of the short-term goals regarding crypto in Malaysia is to educate the public about the underlying innovative and groundbreaking technology. It’s expected that the risks, core information, and rewards associated with bitcoin and other digital currencies will also be addressed.
2022 Prediction: More and more companies and entrepreneurs seeking a way to obtain a blockchain permit in Asia will turn their attention to Malaysia. We truly believe that this nation will become one of the top choices for those seeking to get their foot into the Asian cryptocurrency business.
Popular Option #2: Blockchain Permit in Asia – Singapore
Throughout the course of the last few months, it became increasingly apparent that blockchain and crypto-related projects are one of the most in-demand types of business in Singapore.
Advantages
- It’s a prestigious country with a long, rich history
- Great option for payment services
- Major Payment Institution license is not that difficult to obtain
- Major crypto exchanges such as Coinbase offer their services in Singapore
Disadvantages
- Similar to the newer, less complex to obtain VASP license in Lithuania (EU), Singapore’s blockchain permits MIGHT become harder to obtain
Latest Developments: Binance shut down its cryptocurrency exchange services in Singapore. As things stand right now, it’s still too early to predict if it’s going to be a negative or a positive thing for the country’s thriving crypto scene. Even though Binance should not be taken as “the typical example”, it just shows a general tendency of the stands the government has if it comes to Anti-Money Laundering processes.
2022 Prediction: The government’s attitude towards digital money will not change. The positive trends that have led to this country emerging as one of the major digital money hubs in the Asian region are not going away any time soon.
Popular Option #3: Cryptocurrency Permit in Asia – Philippines
The Philippines can be considered somewhat of the underdog in terms of the best crypto jurisdiction, crypto-related businesses, and businesses in general. The country is in need of ways to drive its economy forward, so the cryptocurrency license the Philippines might become a huge priority moving forward.
Advantages
- Spotless reputation
- Low operating costs of any and all e-money projects, similar to Thailand cryptocurrency exchanges
- Fast economic growth. Huge potential for even faster growth
- It’s relatively easy to become an e-money provider
Disadvantages
- The country’s financial literacy is pretty low, leading to the need of educating crypto clients
Latest Developments: A high-ranking representative of UnionBank of the Philippines revealed that there are plans of joining the NFT Market.
2022 Prediction: With the ever-increasing acceptance of cryptocurrency in Asia, the Philippines have the potential to improve their stance as a well-established cryptocurrency jurisdictions like Singapore and Malaysia. We expect the Philippines to be the next major player in the crypto-space, especially when one considers that interest in bitcoin and other cryptocurrencies has been steadily increasing. The only thing preventing them from being bigger than Singapore right now is a lack of enthusiasm of the working-class people. Eventually, this will also change.
Conclusion
Since all of these are just forecasts, we shall see what of thhis becomes true. Certain is: If one is in the middle of their crypto projects, no matter if its an NFT, DeFi, Metaverse or any other buzzwords you would want to make use of, certainty on the corporate structure side is important. If you need assistance to create your crypto company now in the BVIs, Cayman Islands, Marshall Islands or similar: Start a crypto company online, get in touch with our professionals and receive a first free consultation now.
