According to the Henley Crypto Adoption Index 2024, Singapore has emerged as the global leader in crypto adoption thanks to its progressive regulatory approach to the industry.
The reportpublished by investment migration consultancy Henley & Partners, highlighted the city-state’s robust regulatory environment, financial technology innovation and widespread public adoption as key factors propelling it to the top of the list.
Asia leads the top 10
The study evaluated 28 countries with investment migration programs and ranked them based on criteria such as public adoption, infrastructure, innovation and technology, regulatory environment, economic factors and tax friendliness.
Singapore achieved the highest total score, with 45.7 out of 60 points. The report noted:
“Singapore is promoting cryptocurrency adoption through a supportive banking system, significant investment and extensive regulation.”
One of the country’s most important regulatory frameworks is the Payment Services Act, which regulates services related to digital payment token service providers.
In addition, the Monetary Authority of Singapore (MAS) has led initiatives such as Project Orchid and Project Guardian, which have tested the benefits of tokenization and facilitated the adoption of blockchain technology in the financial sector.
Hong Kong ranks second, scoring 42.1 in the index, despite its relatively recent pro-crypto pivot. The report states that the region’s economic drivers and tax friendliness, coupled with its advanced digital infrastructure and significant public interest, are the key drivers of crypto growth.
Like Singapore’s financial watchdog, the Hong Kong Monetary Authority (HKMA) has also been active in exploring digital asset opportunities. It recently launched Project Ensemble to study interbank settlements using a central bank digital currency (CBDC) and tokenization of real assets.
The UAE ranked third, with a score of 41.8, almost level with Hong Kong. The UAE surpassed both Singapore and Hong Kong in tax friendliness, and the report praised the country’s innovative environment and strong government support for the crypto sector.
The UAE’s booming startup scene and high levels of crypto ownership among the population were also cited as contributing factors. Two other Asian countries – Malaysia and Thailand – also featured in the top 10 countries, ranking eighth and tenth respectively.
The top 5 is rounded off
The United States ranked fourth in the Henley Crypto Adoption Index, scoring 41.7 points, just behind the UAE. The report highlighted the US’s strong performance in innovation and technology, driven by a vibrant fintech ecosystem and high levels of public acceptance.
However, the report noted that the U.S. regulatory environment has been a “complex and sometimes challenging factor” for broader adoption. Nevertheless, technological progress and economic influence make the country an important player in the global crypto landscape.
Great Britain rounded out the top five with 36.1 points. The United Kingdom was praised for its strong regulatory environment and economic factors, which have played a major role in fostering a growing crypto industry.
The country has seen a steady increase in both public and institutional interest in digital assets, with the government taking steps to create an enabling environment for crypto companies through clear regulation and support for innovation.