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NFTs ‘biggest on-ramp’ to crypto in Central, Southern Asia and Oceania — report

Non-Fungible Tokens (NFTs) may be the biggest driver of crypto adoption in Central, South Asia and Oceania (CSAO), a new report reveals.

According to a Sept. 21 Chainalysis post titled “Crypto Adoption Steady in South Asia, Surges in Southeast Asia,” NFT-related actions are expected to move cryptocurrencies out of the region in Q2 2022. It accounted for 58% of all web traffic going to the service.

Meanwhile, another 21% of traffic in the quarter came from Play-to-Ene (P2E) blockchain gaming websites, including leading titles such as Axie Infinity, STEPN and Battle Infinity.

Chainalysis noted that P2E blockchain games are “closely related” to NFTs, as most P2E games feature in-game items in the form of NFTs that can be sold on marketplaces such as MagicEden and OpenSea. .

“NFTs are probably the biggest entry point into cryptocurrency in CSAO today.”

CSAO member countries include 25 countries such as India, Thailand, Vietnam, Australia, Singapore, the Philippines, and Indonesia, including 7 of the top 20 countries in Chainalysis’ cryptocurrency adoption index.

According to the web traffic heatmap, NFT-related websites accounted for the majority of web traffic in almost every country in the CSAO region, but blockchain gaming and entertainment also accounted for a large share of the traffic.

Web traffic heatmap for Central, South Asia, and Oceania regions.Source: Chainalysis

Chainalysis said this “isn’t necessarily surprising. CSAO is a hub of innovation in blockchain-based entertainment,” adding:

“For example, game-centric blockchain developers Polygon and Immutable X are headquartered in India and Australia, while the two largest play-to-een games, Axie Infinity and STEPN, operate in Vietnam and Australia, respectively. .”

Vietnam has topped the Chainalysis cryptocurrency adoption index for the second year in a row, while the Philippines surprised to come in second after being ranked 15th in the previous report.

“Both of these countries have similar growth drivers of play-to-eating (P2E) gaming and remittances,” explained the blockchain analytics firm.

Meanwhile, traffic to websites related to other subjects, such as decentralized exchange agreements, has declined in recent quarters, according to Chainalysis.

Related: Emerging Markets Lead Global Employment Index: Chainalysis Report

The report also mentions the adoption of cryptocurrencies in India and Pakistan, which ranked as the second and third highest crypto adopters globally in 2021, but this year they will rise to fourth place respectively. I pointed out that I fell to 6th place.

Recent regulatory developments are cited as possible reasons for the change.

In January, Pakistan’s central bank and government recommended a ban on cryptocurrencies, while the Indian government imposed a 30% tax on all cryptocurrency profits in April and banned all cryptocurrency transactions in July. added a 1% fee.