opinion
The Scoop: As the world looks to Singapore, don't sleep on Japan
Quick Take
- I won’t be joining my colleagues at Token2049, but I’ve been having plenty of conversations with people in the Asia region to discuss the developments shaping the crypto market there.
- This column is adapted from The Scoop newsletter.
This column was co-written by Frank Chaparro, director of special projects at The Block, and Laura Vidiella of MNNC Group. The views expressed in this column are their own and do not reflect the opinions of their employers.
Unfortunately, I won't be joining my colleagues at Token2049, but I've been having plenty of conversations with people in the Asia region to discuss the developments shaping the crypto market there.
Conferences like these tend to expose Western audiences to what's happening in the East, highlighting not just cultural differences but also distinct ways in which the markets operate.
One thing that stood out to Laura during her travels to Singapore and Korea is that many Asian family offices, which have historically invested in crypto funds, are now looking at liquid investment opportunities for the first time, seeing venture investments as too frothy. Makes sense. We've noted in this column before that liquid markets seem like an untapped opportunity, given the various idiosyncrasies in crypto market structure. Laura will dive deeper into this when she returns.
While I remain stateside, I’ve been relying on phone calls — remember those? — to gather insights. One market I think has been underappreciated in crypto in recent years is Japan. So, I wanted to share my notes from a recent call with an operator in the region, which has a unique market structure compared to the U.S. and even neighbors like Korea and China.
While Korea leads the way in retail trading volumes, Japan has carved out a different niche in the crypto space. The Japanese market has become a hotspot for enterprise participation, with major players like Nomura, SBI, SMBC, Sony and DMM making significant strides. This enterprise-driven growth is apparent in initiatives like companies developing their own crypto wallets and a highly active gaming sector.
Stablecoins are also gaining traction, with several banks exploring stablecoin initiatives. A prime example is the Circle/USDC/SBI partnership, which reflects broader interest from other major institutions like Prog-net, SMBC and Mizuho.
However, Japan's venture capital scene — both in web2 and web3 — is limited. Entrepreneurs here struggle to raise significant capital, typically securing only $1-3 million, with $10 million being the upper limit. In contrast, global projects like Berachain have raised as much as $200 million abroad — an amount that seems almost unattainable in the Japanese market. This capital shortage highlights the need for more global players to enter the space and tap into Japan’s unique market dynamics.
The Block’s Frank Chaparro serves up the latest headlines, charts, trends, and views on crypto and DeFi from around The Block, Twitter, and The Scoop pod. Subscribe to The Scoop newsletter, which hits inboxes on Tuesday and Friday mornings.
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Disclaimer: The Block is an independent media outlet that delivers news, research, and data. As of November 2023, Foresight Ventures is a majority investor of The Block. Foresight Ventures invests in other companies in the crypto space. Crypto exchange Bitget is an anchor LP for Foresight Ventures. The Block continues to operate independently to deliver objective, impactful, and timely information about the crypto industry. Here are our current financial disclosures.
© 2025 The Block. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
AUTHOR
Frank Chaparro is Host of The Scoop podcast and Director of Special Projects. He also writes a biweekly newsletter. Chaparro started his career at Business Insider, where he specialized in the intersection of digital assets and Wall Street, market structure, and financial technology. Soon after joining Business Insider out of Fordham University, Chaparro was interviewing top finance and tech executives, including billionaire Mark Cuban, “Flash Boys” star Brad Katsuyama, Cboe Global Markets CEO Ed Tilly, and New York Stock Exchange President Tom Farley. In 2018, he become a sought after reporter in the crypto world, interviewing luminaries such as Tyler Winklevoss, the cofounder of Gemini, Jeremy Allaire, the CEO of Circle, and Fundstrat head Tom Lee. For inquiries or tips, email [email protected].
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