People active in the world of bitcoin and cryptocurrency will have noticed Japan is generating a lot of trading volume as of late. It remains unclear what is driving this sudden demand, although it may have to do with China’s new regulations when it comes to bitcoin exchange activities. Even though the bitcoin trading volume across Chinese exchanges has not diminished, Japan’s appetite seems insatiable.
Japan’s Bitcoin Trading Volume Explodes
It is evident Japan is becoming the next bitcoin trading hub if this trend continues. While the exact reason remains a mystery, a new law that will be introduced later in 2017 could be the driving factor for Japanese bitcoin adoption. In fact, it seems Japanese media has taken a liking to bitcoin and cryptocurrency as of late, which is only bringing more positive attention to the ecosystem as a whole.
As has been the case in virtually every country in the world, Japanese media ignored bitcoin for a very long time. The only news related to cryptocurrency was usually bad news, such as the Mt. Gox debacle. Bitcoin did not have the best of reputations in Japan due to events like these, yet that situation is slowly turning around in favor of cryptocurrency. In fact, these same media agencies now feel Bitcoin is an “innovative technology worth keeping an eye on”.
On top of that, Bitcoin can be used as an official payment method for various services and products in Japan. The country is home to a bitcoin payment processor similar to BitPay, and they have some strategic partnerships with service providers across Japan. As a result, more than 5,000 merchants and websites now accept Bitcoin, and nearly every transaction is processed by this local payment processor right now.
More importantly, the bitcoin payment volume has increased by as much as 8.900% compared to January 2016. This seems to further validate Bitcoin is a viable payment method in Japan and will continue to see a great deal of success. Bitcoin is more than a speculative investment vehicle in Japan right now, which paints a positive future for cryptocurrency in the country as a whole.
For the time being, it remains unclear how this will affect the Bitcoin price over the coming months. Japan is certainly warming up to bitcoin and cryptocurrency, and more demand usually affects the BTC price. For now, the bitcoin price seems to be holding steady, although a future value increase could only be a matter of time. This trend is more than a temporary hype, as Bitcoin is becoming part of everyday life in Japan.
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