Hong Kong Residents Embracing Crypto Payments 

Almost one in five (18%) of people in Hong Kong who responded to a recent Visa survey say they have used cryptocurrency to send money, receive money, buy goods or accept payment, The Standard reported Thursday (Dec. 9).  

The survey also shows that about one-third of those who own crypto are planning to switch to banks with crypto-related services within a year, and that about 10% of the almost 800 people who answered the survey have purchased cryptocurrency as an investment rather than for transactions. 

Almost nine out of 10 (88%) say they’d be interested in crypto cards to convert and spend their digital currency at retail stores, and 86% want a service to let customers earn crypto as a reward for spending.  

More than two out of five survey respondents (43%) see crypto as a way to be part of the “financial way of the future,” while almost one in every three (32%) are looking to diversity their investments. 

The Bloomberg Galaxy Crypto Index, which measures and ranks the largest cryptocurrencies, has grown about 200% this year, in part because of interest from large fund managers, investors and pensions. 

Related: Crypto Startup Investors Bypass Asia in Favor of Backing US Firms 

While crypto is gaining steam in Hong Kong, that’s not necessarily true across the entire continent. China’s crackdown on technology companies and cryptocurrencies has venture capitalists looking to back companies in the U.S. instead of Asia, which hasn’t happened since 2017. 

China’s tech crackdown has negatively affected cryptocurrency and blockchain startups looking for capital, according to data from CB Insights, a stunning reversal from the days when cryptocurrency activity flowed heavily through China. 

Beijing ended crypto mining and banking operations earlier this year and made all cryptocurrency transactions illegal in September. 

Around the world, investors have had their checkbooks out looking for the next big thing in the crypto startup world, with the fourth quarter of 2021 slated to be the largest for investments of that kind. 

Venture capital investment in cryptocurrency startups has grown from $3.1 billion in 2020 to $21.3 billion through Nov. 30 of this year, even with a more than 50% drop in new deals in China in 2021.