Residents of the United States or Europe may not know that Asian markets play an important role in the determination of the value and volume of trade cryptocurrencies. Mainly three countries have the greatest influence on the value of bitcoin, Japan, China and South Korea.
Statistics show that in 2017, these countries accounted for more than 50% of the volume of trading of the cryptocurrency, according to cryptodaily.co.uk.
The Role Of Japan
Japan is the homeland of bitcoin and cryptocurrency, the first mining operations were in that country. It is believed that Satoshi Nakamoto, the unknown Creator of bitcoin, has started its operations in Japan.
Digital currencies are very popular in the country of the rising sun, which quickly adopted the currency for daily transactions. A number of banks offer their customers accounts in bitcoin and other cryptocurrencies.
For the most part, the Japanese government does not interfere in the cryptocurrency markets, asking only their General framework. The first rules appeared in 2014 after the collapse of Mt. Gox.
Further to stabilize the operation of stock exchanges and transparency, the government launched a licensing program for virtual exchanges, developers of purses and payment systems. This is one of the few developed countries in the world, which positively relates to the cryptocurrency.
China and cryptocurrency
Once the Chinese investors selling bitcoin around the world. Chinese exchanges accounted for 90% of the daily trading volume of bitcoin. In September 2017, the Chinese authorities dealt with cryptomeria and mining, banning the first and creating a lot of limitations for the second.
This led to the collapse in world markets. Trading volume in China fell to a small percentage relative to its previous high values. Exchange and mining company moved to Hong Kong, which have their own rules that are different from the rest of China.
The head of Hong Kong’s Bitcoin operations Lao the UEZ, says that in China there are thousands of active investors with significant reserves of cryptocurrencies, although now their number is much lower than it was originally.
China also plays an important role in cryptographic markets due to the large obamamaniac transactions that are processed within the country. To start mining requires a large power consumption. Because energy prices in China are quite low compared to other developed economies, investors have moved their business to the Asian country.
Cryptocurrency trading in South Korea
South Korean investors are a little late to the party, trade bitcoin has grown in just the last two years. Investors this small nation was quite aggressive in their purchases and headed bullish trend, which raised the value of bitcoin to $15,000 or more.
In January 2018, South Korean regulators have a difference of opinion on virtual stock exchanges operating on the territory of the country. Initially, the government announced a ban cryptocurrency trading, citing their use in criminal activities and money laundering, then the government’s position has softened.
If bitcoin and other cryptocurrencies will not be trading in three major Asian countries, it is unlikely that the coin will feel good in the long run.