Hong Kong: Asia is overtaking Western markets in the adoption of on-chain financial services, driven by a focus on user utility and proactive regulation. While the West remains focused on institutional asset management, Asian markets are prioritizing high-frequency retail applications and cross-border trading.
During a panel discussion at Consensus Hong Kong, industry leaders highlighted how different regional dynamics shape blockchain growth. Suhan Zhao, head of APAC at Aptos Labs, noticed a clear shift towards real-world use cases. “In Asia, there is a lot of adoption of digital payments and also a lot of willingness to deploy new technologies at scale,” Zhao said. He pointed to South Korea’s Lotte Group, which issued more than 5 million mobile service vouchers on the Aptos network, reaching 1.3 million users in less than three months.
Regulatory progress is a primary driver of this growth. Niki Ariyasinghe, vice president of Asia Pacific and Middle East at Chainlink Labs, identified Hong Kong and the United Arab Emirates as the most advanced markets for stablecoin regulation. He argued that the adoption of stablecoins in Asia often arises from a fundamental need for efficiency rather than speculation. “Ultimately, it’s the willingness to use a new payment method because of the value it offers. Ultimately, it’s cheaper, faster or more convenient at the end of the day,” Ariyasinghe said.
Small businesses involved in international trade represent a key demographic for these digital assets. These companies use stablecoins to avoid a fragmented traditional payment infrastructure that often takes days to settle. Nick See Tong, APAC regional lead for Base, emphasized that local stablecoins remain essential for mass market penetration. “A merchant selling wonton mee will not accept USDT, USDC or any dollar stablecoins. They want Hong Kong dollars,” See Tong said.
