The Asian Web3 market is set to experience a critical turning point in Q2 2025, shifting from the policy framework laid out in Q1 to substantive market activities and capital deployment, with countries exhibiting differentiated development paths.
Author: Tiger Research Reports
Translation: Deep Tide TechFlow
TL;DR
Regulation and Government: 1) Hong Kong will introduce stablecoin legislation in August, solidifying its position as a digital financial hub. 2) Singapore has implemented a strict licensing system, prohibiting unlicensed companies from operating overseas. 3) Thailand has launched G-Tokens, becoming the first country to issue government-backed digital bonds.
Corporate Dynamics: 1) Japanese listed companies are riding a wave of Bitcoin funding strategies, leading to a surge in institutional investment. 2) Chinese companies are taking a pragmatic approach, circumventing domestic restrictions through Hong Kong licenses to accumulate Bitcoin.
Policy Shifts: 1) In South Korea, the emergence of a won-backed stablecoin as a post-election agenda is offset by ongoing regulatory fragmentation. 2) Vietnam has achieved a historic transition from a ban to full legalization. 3) The Philippines is implementing a dual-track strategy, combining strict regulation with a sandbox framework.
1. The Asian Web3 Market in Q2: Stabilizing Regulation and Increasing Corporate Investment
While the focus of the Web3 market has clearly shifted to the United States, the development of major markets in Asia remains noteworthy. Asia not only has the largest cryptocurrency user base globally but also continues to be a core hub for blockchain innovation.
Therefore, Tiger Research has been conducting quarterly reviews of the major trends in Web3 across the Asian region. In Q1 2025, regulatory agencies across Asia laid the groundwork—introducing new legislation, issuing licenses, and launching regulatory sandboxes. Efforts to strengthen cross-border cooperation are also beginning to take shape.
In Q2, this regulatory foundation facilitated meaningful business activities and accelerated capital allocation. The policies launched in Q1 were tested in the market, prompting continuous refinement and more concrete implementation.
The participation of institutions and enterprises has significantly increased. This report will analyze the developments in various countries during Q2 and assess how changes in national policies impact the broader global Web3 ecosystem.
2. Key Developments in Major Asian Markets
2.1. South Korea: The Intersection of Political Transformation and Regulatory Adjustment
Source: Tiger Research
In Q2, cryptocurrency policy became a hot topic in South Korea ahead of the June presidential election. Candidates actively shared commitments related to Web3, and with Lee Jae-myung's victory, the market anticipates significant changes in policy.
One of the core topics of the meetings was the introduction of a stablecoin pegged to the won. Stocks related to this, including Kakao Pay, surged, and traditional financial institutions began applying for Web3-related trademarks in hopes of entering the market.
However, some conflicts arose during the policy-making process, most notably the jurisdictional dispute between the Bank of Korea and the Financial Services Commission (FSC). The central bank advocates for early involvement in the approval process, positioning stablecoins as part of a broader digital currency ecosystem alongside CBDCs.
In July, the Democratic Party announced a delay of one to two months for the introduction of the Digital Asset Innovation Act. The lack of a clear lead policymaker seems to be a significant bottleneck, with negotiations among departments remaining fragmented. Therefore, although the won-backed stablecoin has become a focal point, specific regulatory guidance is still lacking.
Despite this, gradual improvements at the institutional level continue. In June, new regulations allowed non-profit organizations and exchanges to sell donated crypto assets and allowed for immediate settlement. The rule also requires sales to be conducted in a manner that minimizes market impact.
Throughout Q2, interest in the South Korean market remained strong. Global exchanges demonstrated sustained investment: Crypto.com Korea completed integration with Upbit and Bithumb for the Travel Rule, while KuCoin announced plans to return to the South Korean market after meeting regulatory standards.
Offline activities also saw a significant rebound. The number of meetups increased dramatically compared to last year, with more international projects visiting South Korea even outside of major conferences. However, the rise of promotional events (focusing more on giveaways than participation) has left local builders feeling fatigued.
2.2. Japan: Institutional and Corporate Adoption Driving Bitcoin Strategy Expansion
Source: Bitcoin Treasury
In Q2, Japanese listed companies initiated a wave of Bitcoin adoption. This wave was primarily driven by MetaPlanet, which achieved approximately 39 times returns after its first Bitcoin purchase in April 2024. MetaPlanet's performance set a benchmark, prompting companies like Remixpoint to follow suit and allocate their own Bitcoin.
Meanwhile, progress has also been made in the construction of stablecoin and payment infrastructure. Sumitomo Mitsui Trust Group has begun collaborating with Ava Labs and Fireblocks to prepare for the issuance of stablecoins. Additionally, Mercari's cryptocurrency subsidiary Mercoin has started supporting XRP trading, significantly enhancing the accessibility of cryptocurrencies on the platform (with over 20 million monthly active users).
As private sector initiatives continue to advance, regulatory discussions are also ongoing. The Financial Services Agency (FSA) of Japan introduced a new classification system, dividing crypto assets into two categories: the first category includes tokens used for financing or business operations; the second category refers to general crypto assets. However, most of these regulatory updates remain in discussion stages, with limited specific amendments so far.
Retail investor participation remains sluggish. Japanese retail investors traditionally favor conservative strategies and remain cautious about crypto assets. Therefore, even with new market participants entering, retail capital is unlikely to flow in immediately.
This contrasts sharply with markets like South Korea, where active retail participation directly fosters early liquidity for new projects. In Japan, the institution-led investment model provides greater stability but may limit short-term growth momentum.
2.3. Hong Kong: Expansion of Regulated Stablecoins and Digital Financial Services
In Q2, Hong Kong refined its stablecoin regulatory framework, solidifying its position as Asia's leading digital financial center. The Hong Kong Monetary Authority (HKMA) announced that the new stablecoin regulatory legislation will take effect on August 1. A licensing system for stablecoin issuers is expected to be introduced by the end of the year.
Source: HKMA
As a result, the first regulated stablecoins are expected to launch in Q4, potentially as early as this summer. Companies that previously participated in the HKMA's regulatory sandbox are expected to be the pioneers, and their progress will be closely monitored.
The scope of digital financial services has also significantly expanded. The Securities and Futures Commission (SFC) announced plans to allow professional investors to trade virtual asset derivatives. Meanwhile, licensed exchanges and funds have been approved to offer staking services.
These developments reflect the regulatory authorities' clear intention to establish a more comprehensive and institution-friendly digital asset ecosystem in Hong Kong.
2.4. Singapore: Regulatory Tightening Between Control and Protection
Source: MAS
In Q2, Singapore took significant tightening measures in cryptocurrency regulation. Most notably, the Monetary Authority of Singapore (MAS) has comprehensively banned unlicensed digital asset companies from operating overseas, indicating its firm opposition to regulatory arbitrage.
The new regulations apply to all entities providing digital asset services to global users in Singapore, effectively mandating the formal issuance of licenses. The environment has changed: simple business registration is no longer sufficient to maintain operations.
This change has placed increasing pressure on local Web3 companies. These companies now face a binary choice—either establish fully compliant operational entities or consider relocating to more lenient jurisdictions. While this move aims to enhance market integrity and consumer protection, it is undeniable that its impact on early-stage and cross-border projects is limited.
2.5. China: Internationalization of Digital Renminbi and Corporate Web3 Strategies
In Q2, China advanced the internationalization of the digital renminbi, with Shanghai as the center of this effort. The People's Bank of China announced plans to establish an international operation center in Shanghai to support the cross-border application of digital currency.
However, there remains a gap between official policy and actual operations. Despite a nationwide ban on cryptocurrencies, reports indicate that some local governments (such as Jiangsu Province) have liquidated seized digital assets to cover fiscal shortfalls. This suggests that the Chinese government is adopting a pragmatic approach that diverges from its official stance.
Chinese companies are also demonstrating a similar pragmatic spirit. Logistics group AdanTex and others have begun to follow the lead of Japanese companies by increasing their Bitcoin holdings. Some companies are utilizing Hong Kong's licensing system to bypass mainland restrictions and enter the global Web3 market—effectively breaking through regulatory boundaries to participate in the digital asset economy.
Interest in stablecoins pegged to the renminbi is also growing, particularly in the latter half of this quarter. Concerns over the dominance of US dollar stablecoins and the depreciation of the renminbi have intensified these discussions.
On June 18, the Governor of the People's Bank of China, Pan Gongsheng, publicly articulated a vision for building a multipolar global currency system, hinting at an open attitude towards issuing stablecoins. In July, the Shanghai State-owned Assets Supervision and Administration Commission initiated discussions on the development of a stablecoin pegged to the renminbi report.
2.6. Vietnam: Legalization of Cryptocurrency and Strengthened Digital Control
In Q2, Vietnam officially announced the legalization of cryptocurrency, marking a significant policy shift. On June 14, the Vietnamese National Assembly passed the Digital Technology Industry Law, which recognizes digital assets and outlines incentives for sectors such as artificial intelligence, semiconductors, and digital infrastructure.
This marks a historic reversal of Vietnam's previous ban on cryptocurrencies, positioning the country as a potential catalyst for widespread cryptocurrency adoption in Southeast Asia. Given Vietnam's prior restrictive stance, this move signifies a major adjustment in the region's cryptocurrency policy.
Meanwhile, the government has intensified control over digital platforms. Authorities have ordered telecom operators to block Telegram on the grounds that the app is allegedly used for fraud, drug trafficking, and terrorist activities. A police report found that 68% of the 9,600 active channels on the app were related to illegal activities.
This dual approach—legalizing cryptocurrency while cracking down on digital abuse—reflects Vietnam's intention to allow innovation within a strictly monitored framework. While digital assets are now legally recognized, activities involving them for illegal purposes are facing stricter enforcement.
2.7. Thailand: State-Led Digital Asset Innovation
In Q2, Thailand advanced government-led initiatives in the digital asset sector. The Thai Securities and Exchange Commission (SEC) announced that it is reviewing a proposal that would allow exchanges to list their own utility tokens—marking a departure from previously strict listing rules and expected to enhance operational flexibility for platforms.
**More notably, the Thai government announced plans to issue domestic digital **bonds. On July 25, Thailand will issue “ G-Tokens ” through an approved ICO platform, with a total issuance scale of $150 million. These tokens will not be usable for payments or speculative trading.
This initiative is a rare example of direct government involvement in the issuance of digital assets. Globally, Thailand's approach can be seen as an early model of public sector-led tokenized financial digital innovation.
2.8. Philippines: A Dual-Track Approach of Strict Regulation and Innovation Sandbox
In Q2, the Philippines implemented a dual-track strategy that combines enhanced regulation with support for innovation in the cryptocurrency sector. The government has imposed stricter controls on token listings, with regulatory authority shared between the central bank and the US Securities and Exchange Commission (SEC). Registration and anti-money laundering compliance requirements for virtual asset service providers (VASPs) have also been significantly relaxed.
One particularly noteworthy measure is the introduction of influencer regulation. Content creators promoting crypto assets must now register with the relevant authorities. Violations may result in penalties of up to five years in prison, making it one of the strictest enforcement regimes in the region.
In addition to these measures, the government has also launched a framework to promote innovation. The US Securities and Exchange Commission (SEC) has begun accepting applications for the “ StratBox ”, a sandbox program designed to support crypto service providers within a controlled regulatory environment.
免责声明：本文章仅代表作者个人观点，不代表本平台的立场和观点。本文章仅供信息分享，不构成对任何人的任何投资建议。用户与作者之间的任何争议，与本平台无关。如网页中刊载的文章或图片涉及侵权，请提供相关的权利证明和身份证明发送邮件到support@aicoin.com，本平台相关工作人员将会进行核查。
