Crypto Assets are thriving in Asia: Institutional investor interest significantly increases

In the past week, I met with institutional investors and founders in Hong Kong and Singapore, and participated in several important events, including the Hong Kong Trade Delegation, the Hong Kong Consensus Conference, and a seminar on Web3 AI. This trip to Asia was packed with activities and very rewarding, allowing me to have in-depth thoughts on the current Crypto Assets market.

Compared to previous years, institutional investors have undergone a significant change in their attitude towards Crypto Assets. Their understanding of this industry has deepened, and their focus has extended far beyond simple Bitcoin investments.

Hot Topics

stablecoins and decentralized physical infrastructure networks (DePin)

Stablecoins, as a trillion-dollar opportunity, are also receiving significant attention in the Asian market. Many believe that issuing stablecoins can bring considerable profits to the issuers. Currently, the annual trading volume of stablecoins has exceeded 33 trillion dollars, surpassing the total of Visa and Mastercard.

The DePin market is still in its infancy, but its potential has sparked widespread discussion. I shared some trends, use cases, and success stories that showcase the tremendous opportunities in this field.

Artificial Intelligence (AI)

AI has always been a hot topic, especially after some major breakthroughs. These advancements indicate that high-performance models can be created even without huge investments. We discussed many issues regarding privacy, consumer expectations for AI additional features, and AI agents. In the future, everyone may have their own AI agents to trade on the blockchain at internet speed, which could increase global transaction volume by five times.

AI is driving more personalized services, a value-added feature that has yet to be fully explored. AI agents allow users to perform complex operations (such as cross-border payments) through simple commands, enabling Asian users to bypass traditional financial infrastructure and join the Web3 ecosystem.

Legislation

The cryptocurrency legislation in the United States is gradually becoming clearer. The regulatory environment is shifting from headwinds to tailwinds, which will undoubtedly promote the expansion of American cryptocurrency companies into Asia, with Hong Kong potentially becoming an important gateway.

Since 2022, Hong Kong has been providing increasing support for Crypto Assets, launching Asia's first spot exchange-traded fund and issuing multiple licenses for virtual asset trading platforms. Regulators are also actively listening to the voices of the industry and are willing to support the development of the industry through future legislation.

Conclusion

Currently, Asian investors, operators, and users have reached an unprecedented level of confidence in Crypto Assets. They hope to invest in and build more applications to address the fragmented technologies that many rely on, which involve multiple fields such as income, entertainment, travel, and payment. Stablecoins, AI, and legislation are key factors driving the development of Crypto Assets, and we are confident that we can lead this new wave and contribute to the long-term development of the industry.