Crypto Growth Still in Early Stages Despite Adoption

Despite rising usage, many say the crypto industry’s future rests on regulatory changes and market stability

Singapore is a significant crypto hub due to its favorable legal climate and government support, partly due to China’s crypto crackdown.

Crypto remains in the ‘Hyper Growth phase’

According to the Henley Crypto Wealth research, bitcoin adoption is over 30%, but analysts say the business is still in “the “early hyper-growth phase.” Hong Yea, an ex-Goldman Sachs trader, said the high adoption rate shows crypto is still young and has space to grow.

According to the Henley Crypto Wealth report, crypto users increased 32% from 420 million in 2023 to 560 million in 2024. The survey also indicates bitcoin (BTC) gained 31% to 275 million users. GRVT co-founder Yea compares the crypto sector to fintech and social media during its early adoption.

Yea commented on the proportion of crypto and BTC users:

Bitcoin dominated the space a decade ago, but the ecosystem is now more diverse.

This shows the wider accessibility of crypto and the promise of blockchain technology, with new solutions, technologies, and ideas developing daily, making the market interesting to more consumers than simply Bitcoin.

Singapore Benefits from China’s Crypto Crackdown

Another expert, Qubic Ecosystem Representative Europe Alberto Fernandez, says crypto and BTC user growth aligns with Bitcoin’s dominance index.” Fernandez says this dominance splits new users 50% into altcoins and 50% into BTC.

Many analysts think the current adoption rate is strong, but Fernandez said legislative changes and market stability will determine its sustainability. He thought pandemics like 2020 may boost adoption.

Fernandez and Yea believe Singapore’s advantageous regulatory framework and government backing for crypto innovation make it the world’s top crypto hub. Fernandez also liChina’sna’s cryptocurrency banSingapore’sre’s top crypto startup ranking.

Fernandez China’s cryptocurrency restriction has caused entrepreneurs to leave for Singapore, boosting its growth.

The recent Henley Crypto Adoption Index ranks Singapore as the top crypto hotspot. It leads Hong Kong, the US, and the UAE, a crypto startup hub.

Yea says Singapore reached this position because it established itself as a crypto startup safe haven first.

Being one of the first jurisdictions to recognize crypto provided Asia a network effect advantage. The former Goldman Sachs trader remarked that Singapore’s balanced living conditions attract movers.