Southeast Asia: An astonishing boom in crypto startups

Southeast Asia is a diverse region with a growing population and increasing incomes. In addition, the region has become a popular destination for entrepreneurs and investors in the cryptocurrency space. In fact, entrepreneurs and investors are looking for Startups high growth; An offer this region of the world can give them.

Over 600 companies dedicated to cryptocurrency and blockchain

There are now over 600 crypto or blockchain companies in Southeast Asia. That’s the number from a new report released by venture capital investment firm White Star Capital. Much of the recent growth in venture capital financing in the region has come from Startups Cryptography, Blockchain, and Web3.0. It attracted nearly $1 billion in funding in 2022 alone, in other words, VCs mostly make money from their investments in crypto startups. So far, these are on track to top $1.45 billion in total.

Southeast Asia becomes attractive to the whole world

The blockchain sector has become an important driver in the development of the region. Investors come from all over the world. According to a report by venture capital firm White Star Capital, the most active investors come from the United States, China and Singapore. Amy Chao, president of crypto investment fund Ocular, explained why there is such enthusiasm for Southeast Asia: “ While a lot of deep basic research and infrastructure development in the blockchain space is still happening in the US, Southeast Asia is ideal for Web3.0 startups offering services aimed at consumers. “.

Demography in service of cryptocurrencies in Southeast Asia

For Amy Chow, an investor in Ocular, it’s ” Demographics of Southeast Asia [qui] Web3 is very friendly.0 “. According to him, a large, dynamic and young population is the key to this attraction.” There are smaller populations that inherently understand technology and are more willing to try new things. they [principalement] Developing economies, so the financial side of cryptocurrencies is a great incentive for people to get involved. In a few numbers, one can realize the extent of demographic growth in Southeast Asia. 700 million inhabitants, one of the fastest growing populations in the world. 480 million of them are active internet users and others are online. It is estimated that by 2040 Asia will account for half of global GDP and 40% of global consumption. Much of it is attributed to the Association of Southeast Asian Nations (ASEAN).

ASEAN is ready to bet on cryptocurrency

The Association of Southeast Asian Nations (ASEAN) has 10 member countries. Created by Indonesia, Malaysia, Singapore, Thailand and the Philippines in 1967, it was joined by Brunei (1984), Vietnam (1995), Laos and Burma (1997) and finally Cambodia (1999). Like other developing countries, large segments of the population in Southeast Asia still have limited access to banking despite the region’s great strides in financial inclusion over the decade. More than 70% of the adult population remains under the banks ” where ” Without bank accounts According to a 2019 report from Bain & Company. Therefore, this lack of access to banking services leaves a huge market share for decentralized finance (DeFi)…

Southeast Asia: a diverse region offering many markets

Cryptocurrency adoption rates in Southeast Asia averaged 3.56% in 2021. But Singapore stood out with nearly 10% of its population owning cryptocurrency, ahead of the United States by 8.3%, according to White Star Capital. In terms of DeFi adoption, only Vietnam and Thailand were behind the United States in 2021, according to Chainalysis. ” Every country in the region has a slight advantage when it comes to innovation in cryptography ‘ notes Amy Chow. Vietnam source Hardcore Engineers While the Philippines is all about entertainment. Thailand, on the other hand, has a vibrant financial market. Singapore is likely to produce more SaaS products due to its pool of international talent. Indonesia is catching up with Web3.0, perhaps because its huge talent pool still depends on its Web2.0 industry. But the country is also home to one of the region’s best funded blockchain companies: crypto exchange Pintu, which recently brought in more than $110 million in Series B.

Lack of banking services for a precarious population, strong growth, a young population interested in new technologies, different markets and country-specific qualities: this is an explosive combination of success. We also know that many blockchain-based video games are popular in Southeast Asia, or even being developed there. Like Axie Infinity for Sky MavisIt is based in Vietnam, and has many followers in the Philippines and Indonesia. The region is certainly promising to become a new pole of Web 3.0.

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Gregory Murat

A student with a passion for entrepreneurship and fascinated by the technologies behind cryptocurrency! Yes, I am convinced that the two are inextricably linked: blockchain and NFTs are revolutionizing many sectors and presenting unprecedented opportunities.

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