Japan Emerges as APAC’s Fastest-Growing Crypto Market
Japan has become the Asia Pacific region’s biggest crypto growth story, with adoption more than doubling year-on-year. According to Chainalysis’ 2025 Geography of Cryptocurrency Report, Japan’s on-chain value received grew 120% in the 12 months to June, outpacing regional peers like South Korea and Indonesia.
The policy shift has been key. Japan’s regulators have reformed crypto laws to mirror traditional securities markets and slashed punishing tax rates that once crippled the industry. Just last month, Japan approved its first yen-pegged stablecoin, giving domestic investors new tools to access the market.
Industry Players See Steady Growth
Japanese exchanges have already felt the momentum. Atsushi Kuwabara, Chief Business Development Officer at Bitbank, said the platform saw “steady growth in platform usage year over year” up to August, from both new and returning users.
Chainalysis noted that for years, regulatory restrictions on stablecoin listings slowed Japan’s market compared to its APAC neighbors. But that bottleneck is now breaking. Ong added that adoption is likely to keep rising amid “expectations of a more favorable policy and tax environment.”
APAC Sees Widespread Expansion
Beyond Japan, crypto adoption surged across Asia Pacific. Chainalysis found that value received doubled in Indonesia, South Korea, and India, while Vietnam grew 55%, showing a maturing market where crypto powers remittances and daily finance.
Earlier this month, Chainalysis called APAC the fastest-growing region in the world for crypto adoption, with India topping the global index. Stablecoins have been central to this expansion, making cross-border transfers, e-commerce, and savings more efficient than traditional banking.
Stablecoins Take Center Stage
Ong emphasized that stablecoins are now a core driver of APAC’s crypto boom.
Chainalysis reported that South Korea’s stablecoin purchases hit $59 billion in the year to June, up more than 50% year-on-year, with banks showing “keen interest” in stablecoin legislation.
Australia also entered the spotlight, as regulators licensed a stablecoin under its existing financial services regime and offered regulatory relief to distributors, a move Ong said could expand usage even without a full law.
Different Countries, Different Paths
Chainalysis highlighted that crypto use cases vary widely across APAC. India’s young adults use crypto for income through trading, while overseas Indians rely heavily on remittances. In Vietnam, crypto functions as “everyday infrastructure for remittances, gaming, and savings rather than speculation.”
In Pakistan, a “young, mobile-first population” adopts stablecoins to hedge against inflation and for payments. Meanwhile, South Korea treats crypto like equities, as new laws reshape trading activity on exchanges. Smaller but influential markets like Australia, Singapore, and Hong Kong are tightening oversight to attract institutional investors and ensure regulatory clarity.
A Turning Point for Japan and APAC
For Japan, the combination of lower taxes, regulatory clarity, and stablecoin innovation is positioning it as a global crypto hub. Chainalysis concluded that the country’s growth is “on the heels of important advances in its crypto industry,” suggesting its adoption surge may only be the beginning.
With APAC as the fastest-growing crypto region globally, all eyes are on how stablecoins like USDC and JPYC will drive the next wave of adoption across finance, trade, and remittances.
