Vietnam is leading the charge among emerging economies in terms of cryptocurrency adoption. Research by Finder.com shows the significance of cryptocurrencies in facilitating remittances and financial inclusion.
The latest survey by the financial product comparison website across 27 countries in the Americas, Asia, and Europe showed at least 41 percent of participants had bought a digital asset. Vietnam had 20 percent of respondents who had made a purchase using Bitcoin. The number was the highest among the 42,000 respondents that participated in the study.
Remittances played a key role
The Southeast Asian country may be the 53rd largest economy globally, but as of June 2021, it ranked 13th in terms of cryptocurrency gains. As per the Finder.com report, remittances were a leading, motivating factor for crypto adoption. The statement read in part:
“Remittance payment may have played a significant role in these numbers, with cryptocurrency an option for migrants who want to send money home and avoid exchange fees.”
The report showed countries in the Asian sub-continent remained first among equals in cryptocurrency adoption. India and Indonesia followed Vietnam, with at least 30 percent of the respondents saying they had bought some digital assets. Malaysia and The Philippines followed at 29 percent and 28 percent, respectively. The adoption rate was lowest in the developed countries. The United Kingdom stood at 9 percent while the United States had an 8 percent adoption rate.
Latin America is leading in crypto adoption
The report showed cryptocurrency adoption rates were significantly higher in Latin American countries. At least two cryptocurrency exchange startups in Latin America are valued at over $1 billion. Brazil reported a 22 percent rate of respondents who had used Bitcoin to make a purchase. The survey polled between 1,160 and 2,511 people in every participating country. The report explained:
“Due to the varying Google infrastructure in each territory, not all surveys were nationally representative.”
Digital money is an inevitable trend
A local Vietnamese media outlet recently showed blockchain was an emerging technology in the country. The report indicated the nascent technology was poised to play a leading role in the country’s plan toward digitization. The country’s Prime Minister nudged the country’s central bank, The State Bank of Vietnam, to explore a central bank digital currency (CBDC).
Vietnam PM Phạm Minh Chính asked the central bank to consider issuing a CBDC built on the blockchain instead of a shared ledger. He gave the bank a 2021- 2023 timeline. Chính intends to create an efficient e-government built on big data, virtual reality, artificial intelligence and augmented reality. Local financial expert Huynh Phuoc Nghia believes digital money is an inevitable trend.
Tom is a long-serving freelance writer who specializes in the blockchain and cryptocurrency niche. You may even call him a crypto-enthusiast with over 10-years’ experience in content creation, blog writing, and SEO. He is a philosophical figurehead who believes that to make our world a better place, we must invest in incorruptible products and procedures, of which Bitcoin and other cryptocurrencies are leading examples.