In the crypto market data, the total returns in the Asian session are higher than those in the US and EU. The Asian session recorded approximately 47% over the past year, with the US and EU close behind at about 31% and 29%, respectively. According to Ryan Lee, chief analyst at Bitget, the primary reason for this uptick is regulatory clarity in Hong Kong, boosting institutional and stablecoin adoption. Hong Kong currently offers greater regulatory clarity and a commercially viable framework for crypto compared to the EU and US, which are still navigating fragmented or inconsistent approaches. Although the US has passed some bills, there is still work to do. For instance, as reported by Cryptopolitan, Coinbase, a US crypto exchange, asked for the US Department of Justice (DOJ) intervention against state-level enforcement of crypto regulations. In a petition, Coinbase said that a patchwork of lawsuits and licensing schemes is tearing America’s crypto market apart. Also, Hong Kong’s “nuanced classification” distinguishes token types, allowing only high-risk activities with stringent oversight, unlike the EU’s uniform licensing under MiCA. A recent Fireblocks report shows 56% of Asia-based firms actively use stablecoins, while another 40% are preparing to adopt. This places Asia far ahead of Europe and North America in this sector. APAC saw a 69% increase year-over-year in crypto trade The crypto market is changing around the world, and Asia is at the front of the pack. APAC has become the fastest-growing area for crypto activity this year, beating out both the US and Europe in terms of trading volume, institutional adoption, and individual participation. A recent study by CryptoQuant found that the Korea Premium Index, which shows how much more Bitcoin trades on Korean exchanges than on world averages, has been positive all year, ranging from 1.5% to 8%. The steady rise in the number shows that Korean buyers are buying and selling a lot. The Bitcoin Exchange Reserve Ratio, on the other hand, shows a clear flow of capital eastward. It compares US-based exchanges to offshore exchanges. The ratio dropped from 0.10 in late 2024 to -0.24 by September 2025. This shows that more and more institutional and private capital is going to offshore platforms like OKX and Binance. Results from Chainalysis show a 69% year-over-year growth in APAC commerce, from $1.4 trillion in June 2024 to $2.36 trillion in June 2025. Amongst those nations that have contributed to Asia-Pacific being the fastest-growing crypto market this year are South Korea, Vietnam, Pakistan, and India. Crypto growth in different regions. Sources: Chainanalysis The divergence in returns between the East and the West could also be due to the driver of the underlying capital. According to Jeffrey Ding, chief analyst at HashKey Group, while institutional flows remain dominant in the US and EU, Asian markets are still more retail-driven. This naturally brings higher volatility and a stronger speculative element. Analysts affirm the US influence in the crypto industry However, according to analysts, the US still plays a pivotal role in shaping how this cycle progresses. This is because of positive expectations around liquidity and US policy. Other factors that affect this include global dollar liquidity, Federal Reserve decisions, and regional regulatory environments. That’s what will decide how long this cycle lasts. Jeffrey Ding also said that a rise in Asian speculative flows might cause the US and EU to take a step back for a while, but it might not be enough to change the long-term trajectory of institutional investment. Want your project in front of crypto’s top minds? Feature it in our next industry report, where data meets impact.
