Investors living in Asian countries now contribute over 72% of all cryptocurrency trading volume, according to a recent report by Block0, an investment group focused on blockchain projects.
I just published “Asian investors make it rain ??” https://t.co/YV8k3drfPi
— Manu (@manu_andorra) August 6, 2018
According to the report, Asian markets, including Hong-Kong, China, South Korea and Japan, made up 58.1% of total trading volumes in Q4 2017 and have since jumped to 77.2% (+19.1%) in Q2 2018. At the same time, U.S. trading activity dropped from 30.2% of global volume in Q4 2017 to only 12.7% (-17.6%) in Q2 2018.
The study also found that Asian investors, specifically South Koreans, tend to have more diverse portfolios that feature lesser-known altcoins versus their American and European counterparts.
In the first half of the year, Western investors had 53.0% of their USD, EUR, GBP invested in BTC whereas South Korea investors had 34.3% of total KRW in Ripple (XRP) in Q1 2018 and 32.9% of total KRW in EOS (EOS) in Q2 2018.
This data provides an interesting correlation to recent studies that found only 8% of Americans currently invest in cryptocurrencies and that 41% say they would never consider investing in any digital currency.
While cryptocurrency investing is definitely considered a riskier asset class in the developed world, some nations are quickly adopting digital currencies and stablecoins as a means of escaping runaway inflation and the devaluation of their currencies.
Moving forward, digital currencies will definitely become a hot topic of discussion as they enter the world stage.
Photo: Dick Thomas Johnson / Flickr
Disclaimer: This article’s author has cryptocurrency holdings that can be tracked here. This article is for informational purposes only and should not be taken as investment advice. Always conduct your own due diligence before making investments.