As blockchain adoption continues in the Asia-Pacific (APAC) region by large institutions, Blockdaemon Director Andrew Vranjes predicts that the technology could soon spread to small and medium-sized enterprises (SMEs). Vranjes noted that as blockchain solutions mature and become scalable, SMEs, which play a critical role in the APAC supply chain, will also adopt the technology.

The APAC region is proactive and supportive of blockchain technology in terms of regulation. Singapore and Japan are taking steps to regulate and explore blockchain technology. The Monetary Authority of Singapore (MAS) is encouraging fintech innovation, while Japan’s regulatory clarity on crypto assets has made it a hub for blockchain firms.

However, there are still some obstacles for institutions looking to adopt blockchain infrastructure. Vranjes said that tax regulations are unclear and regulatory inconsistencies in different countries are among these obstacles. The lack of uniform regulations for blockchain and digital assets creates complexity for institutions.

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