Why Bitcoin And NFTs Are Attracting The Super Wealthy In Hong Kong
Bitcoin and non-fungible tokens are among the hottest trends in the crypto space today, and those with the wherewithal don’t mind shelling out excessive amounts of dough to invest in them.
On To Bitcoin…
Even when currently trading at a price that is 72% lower than its November 2021 all-time high, BTC still leads all cryptocurrencies in terms of market cap with its $371.4 billion.
Of course, no one in the crypto realm will ever forget when the maiden virtual currency recorded a milestone in February 2021 after it reached an overall valuation of over $1 trillion.
Meanwhile, the NFT marketby the end of September this year, had a market cap of $11.3 billion. This figure is expected to balloon up to $211.72 billion by 2030.
The unprecedented growth of these assets and the exponential rate at which they are expected to develop even more in the future are probably just some of the reasons why the wealthy in Asian nations such as Hong Kong and Singapore, are taking interest to both Bitcoin and NFTs.
The Elites Are Noticing Bitcoin & Co.
The volatility that is known to cause massive price dumps for cryptocurrencies such as Bitcoin don’t seem to bother family offices (FOs) and high-net-worth individuals (HNWIs) that are based in Singapore and Hong Kong – two major financial districts that share the goal of becoming crypto juggernauts in Asia.
This, following a study conducted and published by the KPMG China and Aspen Digital that showed 92% of surveyed residents in the two regions expressing interest in putting investment in cryptocurrencies.
Notably, 58% of the participating population said they already invested in the asset class while 34% are planning to dabble in crypto space in the near future.
As expected, Bitcoin took home the trophy from the race of the most popular digital assets in both Singapore and Hong Kong as 100% of investors said they are buying it. Ethereum was a close second with a rating of 87%.
NFTs garnered 60% as it tied with stablecoins. Decentralized Finance (DeFi) Tokens rounded up the top 5 with its 47% rating.
Singapore And Hong Kong As Crypto Hubs
Both of these territories have openly expressed their desire to be crypto hubs in the Asian region and are already putting in the work to make that happen.
Singapore, where 6% of the world’s crypto funds are held, according to a July 2022 report of PwC, have already given the go-signal for exchange platforms Coinbase and Blockchain.com to conduct their business there.
This is in addition to DBS Group Holdings, the country’s largest bank, granting expanded access to crypto trading access for its 100,000 investors.
Hong Kong, for its part, is home to some of the world’s best crypto-related platforms like Huobi, Wirex, Bitmex and Coinmama.
With this, Asia will have more grounds to establish its dominance in the global stage as far as crypto adoption is concerned.
After all, according to a 2022 Global Crypto Adoption Index of Chainalysis, six of the top 10 countries along this category belong to the region: They are Philippines (2nd), India (4th), Pakistan (6th), Thailand (8th) and China (10th).
BTC total market cap at $369 billion on the daily chart | Featured image from TheNextWeb, Chart: TradingView.com