In Asia, despite major bans and curtailing of the cryptocurrency space, China remains a powerful and influential country – especially in the battle against the US for technology supremacy. However, China is not encouraging a huge section of the cryptocurrency economy, and this is slowing its overall dominance in the east.
Other nations that are friendlier to crypto in the east include South Korea and its pro stance on the digital currency space, as well as Japan. Japan is an enigma in the cryptocurrency space, almost a juxtaposition. The nation is very heavily cash-dependent, yet a power technology hub.
Cash is king in Japan, which makes crypto almost obsolete, but when the bans hit China, Japan quickly rose to take the mantle of a powerhouse in the east. Japan has also been hit by the world’s two largest cryptocurrency heists, that of Mt. Gox, and Coincheck.
However, even with these major hits, there has been some positivity that has emerged as the Japanese government regulators stepped in and demanded better performance from exchanges by issuing business improvement orders.
So, even through the topsy-turvy ride that Japan has been on with cryptocurrency, is it still in a place where it can help advance both blockchain technology, and the cryptocurrency space? Can Japan be a powerful ally in the arms race that is emerging for technology between the West and the East?
Some major Japanese companies, of the magnitude of Rakuten and Line, have been making large strides to assimilate blockchain and crypto into the normal Japanese way of life. Line, for instance, is even challenging the cahs-reliance of the Japanese public with crypto.
Line, the top messaging app in Japan, also operates as a way to transact, and in doing so has been working towards its cryptocurrency offerings. There is an entire cryptocurrency strategy at Line’s disposal as they look to enter the space with their own regulated exchange.
More so, it must be remembered that Japan’s government was one of the first to legalize cryptocurrency and offer it the same status as money, The country is very pro-technology, and as a new fintech, blockchain and crypto are high on their agenda, so there is scope to grow in the nation.
It more depends on how engrossed and ingrained the citizens and businesses of Japan want to get with this new fintech. If Japan does decide to throw its full weight behind cryptocurrency and blockchain, it has the potential to be a true world leader in only a few short years.