Cryptocurrency

Adoption Report
Analysis of Cryptocurrency
Ownership and Transaction

2022

© 2022 – Triple A Technologies – Confidential

Executive Summary

This report provides an analysis and evaluation of the current climate and
prospective profitability of cryptocurrency, with a focus on Southeast Asian
markets.

Our research draws attention to the fact that the number of people who own
cryptocurrencies in 2022 has jumped by 62% since 2021. Global cryptocurrency
ownership has reached an estimated 320 million users in Q3 2022, as compared to
200 million users in 2021. This can be attributed to the increasing awareness of
cryptocurrency.1

Further investigations reveal that most cryptocurrency owners are young adults
under the age of 35. Affluent and educated groups of consumers have a higher
propensity to use cryptocurrencies for purchases.

The report concludes with the key benefits businesses enjoy from accepting
cryptocurrencies across these markets, considering the substantial purchasing
power, estimated cryptocurrency ownership rates and sentiments towards
cryptocurrency payments.

1https://usa.visa.com/content/dam/VCOM/regional/na/us/Solutions/documents/the-crypto-

phenomenon-technical-paper.pdf

© 2022 – Triple A Technologies – Confidential 1

Table of Contents
Introduction

Adoption of Cryptocurrencies 4

Scope of Research 5

Research Methodology 5

Data Sources 6

Demographic Analysis

Profile of an average cryptocurrency user 7

Market Analysis

Southeast Asia 9

Vietnam 11

Philippines 12

Thailand 13

Singapore 14

South Korea 15

Japan 16

India 17

Malaysia 19

Crypto Adoption in Tourism and Hospitality 20

Conclusion 21

Why TripleA 21

References 23

© 2022 – Triple A Technologies – Confidential 2

Introduction

Cryptocurrency refers to digital currency in which transactions are verified and

records are maintained by a decentralised system using cryptography, called
Blockchain, rather than by a centralised authority.

Blockchain is a decentralised ledger of all transactions across a peer-to-peer network.

Using this technology, participants can confirm transactions without a need for a
central clearing authority. Potential applications include cross-border money transfer,
settling trades, voting, and many other use cases. 1

It is found that attitudes towards crypto adoption are increasingly positive. A survey
conducted by Deutsche Bank found that more than a third of the respondents believe
cryptocurrencies are good for the economy. The same group indicated that they own
cryptocurrencies. In addition, they believe that cryptocurrencies are already starting
to replace cash and credit/debit cards.5

© 2022 – Triple A Technologies – Confidential 3

Adoption of Cryptocurrencies

Based on a report conducted by Cambridge, it is estimated that there are 320 million
unique crypto asset owners in Q3 2022, as compared to 200 million owners from the
previous year, thus recording a 62% increase in owners. 2

Based on the existing correlation between the adoption rate of cryptocurrency and
the adoption rate of the Internet, it is estimated that cryptocurrency ownership will
reach almost 450 million cryptocurrency owners by 2030.3

“Adoption rate” is measured by the number of users adopting the Internet and bitcoin since each went public. In this case, the Internet and bitcoin have
been public for different lengths of time. The Internet has been around since the 1980s but went public in 1991. Bitcoin was launched in 2009 but
became publicly accepted in 2011. Year 1 for the Internet is 1991 and for bitcoin is 2011. To forecast the number of cryptocurrency wallet users, we
applied the growth rate of the number of Internet users.

2https://www.jbs.cam.ac.uk/wp-content/uploads/2021/01/2021-ccaf-3rd-global-cryptoasset-benchmarking-study.pdf
3https://www.dbresearch.com/PROD/RPS_EN-PROD/PROD0000000000504589/The_Future_of_Payments_-
_Part_III__Digital_Currenc.pdf?undefined&realload=LTRk6YyZZofMQpLNT~EtStJvOwW4eBreZeLSFTqhg1Q7qpSBf/wDty9Q5MiZNYl~
4 https://twitter.com/TheCryptoLark/status/1471730881337323522

© 2022 – Triple A Technologies – Confidential 4

Scope of Research

In this report, we focused on providing insights into key target markets in Southeast
Asia. It provides a comprehensive overview of key cryptocurrency statistics and how
each country’s population uses, understands and trusts cryptocurrencies.

Vietnam, Philippines, Indonesia, Thailand and Singapore are countries with the highest
levels of cryptocurrency awareness and ownership in the region.

Research Methodology
Two approaches were utilised to obtain an accurate representation of the markets
studied: (i) TripleA data collection (ii) External data research. Both sources carry the
same weight for the purpose of this research.

Global TripleA data, which was gathered over 6 years of operations, from over 15,000
business partners across 120 different countries, is supplemented with publicly
available data from 20 different sources and surveys.

© 2022 – Triple A Technologies – Confidential 5

Data Sources

© 2022 – Triple A Technologies – Confidential 6

Demographic Analysis
Profile of the average cryptocurrency owner

A report by GWI reveals that 63% of crypto owners are male and 37% are female.5

Almost 50% of all cryptocurrency owners are millennials and 21.2% of all owners are
between 35 and 44.5

It is more common among the unbanked population, and users who do not own a
credit card, to use cryptocurrency for transactions. 13% of those who used
cryptocurrency for transactions lack a bank account, compared with 6% of adults who
did not use cryptocurrency. Similarly, 27% of transactional cryptocurrency users did

5 https://datareportal.com/reports/digital-2022-big-rise-in-cryptocurrency-ownership

© 2022 – Triple A Technologies – Confidential 7

not have a credit card, exceeding the 17% of non-users without a credit card.6

“These users are 80% on mobile, the majority are unbanked

and they do not have an interest in Bitcoin other than for
paying for services that let them go about their business.”

-Ray Youssef, CEO of Paxful

6 https://www.federalreserve.gov/publications/files/2021-report-economic-well-being-us-households-202205.pdf

© 2022 – Triple A Technologies – Confidential 8

Market Analysis
Southeast Asia

According to the Chainalysis 2022 Global Crypto Adoption Index, 6 out of the top 20
countries by crypto adoption are based in Asia, with Vietnam in the top position for
the second consecutive year. Other top Asian nations include the Philippines (2nd),
India (4th), Pakistan (6th), Thailand (8th), and Indonesia (20th).

Country Crypto Owners Adoption Rate

Vietnam 18,669,973 18.73%

Philippines 6,986,919 6.13%

India 27,416,309 7.10 %

Thailand 4,332,129 6.47%

Indonesia 12,237,009 4.45%

Singapore 642,987 11.05%

South Korea 2,015,027 3.88%

Malaysia 3,089,320 9.14%

Japan 2,882,116 5.02%

© 2022 – Triple A Technologies – Confidential 9

Currently, over 70% of Southeast Asia’s
population are unbanked or underbanked.
Countries that have the highest combined
rates of unbanked and underbanked
populations are Vietnam (79%), the
Philippines (78%), and Indonesia (77%).

When we cross-reference these 2 metrics, 6

of the world’s most unbanked nations are in the top 20 spots on the crypto adoption
index.

Evidently, this correlation shows that unbanked nations have, by and large, adopted
crypto for payments out of necessity, rather than as a speculation tool.

The region’s high smartphone penetration and engagement—even higher than banking
penetration in most Southeast Asian countries—makes customer adoption of services
like cryptocurrency easier, and provides opportunities to offer embedded financial
services. The global cryptocurrency payment apps market size is expected to reach
USD 2.15 billion by 2030, growing at a CAGR of 16.6% from 2022 to 2030. 7 APAC is at
the forefront of the transition towards alternative payment methods.

7https://www.businesswire.com/news/home/20221006005631/en/The-Worldwide-Cryptocurrency-Payment-Apps-Industry-is-Expected-to-Reach-2.15-Billion-
by-2030---ResearchAndMarkets.com#:~:text=The%20global%20cryptocurrency%20payment%20apps,the%20growth%20of%20the%20market

© 2022 – Triple A Technologies – Confidential 10

With high unbanked and underbanked populations and a low credit card adoption rate,
crypto payments will help to bridge the gap between merchants and this group of
consumers.

© 2022 – Triple A Technologies – Confidential 11

Vietnam

Key Statistics

From our research, it is estimated that 18.7 million

people, 18.73% of Vietnam’s total population, currently
own cryptocurrency.8

Crypto Adoption

Out of 74 countries, the second highest rate of cryptocurrency use was recorded in
Vietnam.

Vietnamese citizens have, throughout history, preferred using other national

currencies such as the USD during times of economic turmoil and hyperinflation. The
emergence of cryptocurrencies has also led to more Vietnamese citizens using them
to hedge against inflation.

Financial Landscape

Vietnam ranks second among the top

10 unbanked nations, as 69% of the
population failed to approach
traditional banking services and
other financial institutions.

Currently, card payments only take a

31% market share in Vietnam as the
population is highly underbanked or
unbanked. This shows that card penetration is not high in Vietnam even when there are
rewards or benefits from using a credit card, due to difficulties in getting access to
traditional banking services.

8 https://triple-a.io/crypto-ownership-data/

© 2022 – Triple A Technologies – Confidential 12

Philippines

Key Statistics

From our research, it is estimated that 7.0 million people, 6.13%

of the Philippines’ total population, currently own
cryptocurrency. 9

Crypto Adoption

The growing popularity of crypto has not gone unnoticed as

the Banko Sentral ng Pilipinas (BSP) has announced it intends to launch a wholesale
central bank digital currency (CBDC) project in the final quarter of 2022.

Cryptocurrency as a mode of payment is making the rounds on Filipino social

media.10 Filipinos have turned to cryptocurrencies because they are secure,
decentralised, easily accessible, and have a potential inflation hedge.

Financial Landscape

About 22 million Filipinos gained access to formal financial accounts between 2019 and
2021, but 34.3 million adults remained unbanked. The country’s banked population was at
about 35% of all adults in 202111 and despite that, the credit card penetration is only at
2%12 as there are too many criterias that most of them can’t meet. Alternative payment
methods such as crypto are currently used to bridge the payment gap.

9 https://triple-a.io/crypto-ownership-data/
10 https://www.analyticsinsight.net/the-philippines-is-asias-blockchain-hub-where-does-india-stand/
11 https://www.bworldonline.com/banking-finance/2022/08/23/469819/philippines-banked-adults-rises-to-56-in-2021-as-online-payments-grow/
12 https://www.mckinsey.com/featured-insights/future-of-asia/countries-and-regions/southeast-asia/southeast-asia-perspectives/the-philippines-growth-dialogues-
martha-sazon

© 2022 – Triple A Technologies – Confidential 13

Thailand

Key Statistics

From our research, it is estimated that 4.3 million

people, 6.47% of Thailand’s total population, currently
own cryptocurrency.13

Crypto Adoption

Crypto adoption is on the rise in Thailand. They

jumped up four spots in Chainanalysis’ global adoption report, climbing from 12th to 8th
this year. Likewise, their crypto retail value, a metric that calculates non-professional,
day-to-day crypto transactions and activity, also increases significantly from 11th to 3rd
in ranking. This highlights the Thai people's faith in cryptocurrency.

Financial Landscape

Currently, the country’s unbanked or underbanked population is around 65% the entire
adult population and credit cards are only 30% of the ecommerce spending in Thailand.14
56.9% of e-commerce spendings in Thailand are actually from the Travel Category.

The Thai government is now working to ensure access to financial services for 30+ million
Thai people through the implementation of blockchain and digital technologies.

Top ecommerce merchant segments

13 https://triple-a.io/crypto-ownership-data/
14 https://www.jpmorgan.com/merchant-services/insights/reports/thailand

© 2022 – Triple A Technologies – Confidential 14

Singapore

Key Statistics

From our research, it is estimated that 0.6 million

people, 11.05% of Singapore’s total population, currently
own cryptocurrency.15

Crypto Adoption

Crypto payment is on the rise as more companies

acquire the Payment Services Act, allowing them
to facilitate crypto transactions and payments. As
of August 2022, 10 companies are permitted to
provide such services.

Not only that, one of our clients, Charles and Keith,

a local Singapore brand, reported that Singapore
customers make up 70% of cryptocurrency
transactions on its site. 16

15 https://triple-a.io/crypto-ownership-data/
16 https://www.channelnewsasia.com/business/cryptocurrency-payment-business-bitcoin-ethereum-2680091

© 2022 – Triple A Technologies – Confidential 15

South Korea

Key Statistics

From our research, it is estimated that 2 million

people, 3.88% of South Korea’s total population,
currently own cryptocurrency.17

Crypto Adoption

Home to exchange giants like UpBit, BiHumb,

CoinOne, Korbit, and Gopax, nearly 30% of all crypto trading worldwide is powered within
the Korean market.18 Furthermore, the South Korean government has just completed a
10-month-long experiment with their own digital won, which they tested with NFT trading
and cross-border remittances. This demonstrates South Korea’s strong belief in
cryptocurrency and its integration with payment solutions.

17 https://triple-a.io/crypto-ownership-data/
18 https://techcrunch.com/2022/05/15/south-koreas-new-pro-crypto-president-gets-pushback/

© 2022 – Triple A Technologies – Confidential 16

Japan

Key Statistics

From our research, it is estimated that 6.3 million people, 5.02% of Japan’s total
population, currently own cryptocurrency.19

Crypto Adoption

In the past year, Japan witnessed its crypto transaction volume doubling, reporting a
113.2% growth in volume.

This is no surprise as the popularity of crypto continues to soar in Japan in the past year.
In the fiscal year 2021, close to 100,000 merchants offer crypto as a mode of payment.
This number is expected to increase by over 10% in the next year. 20

19 https://triple-a.io/crypto-ownership-data/
20 https://www.statista.com/statistics/1279133/japan-estimated-number-merchants-accepting-cryptocurrency/

© 2022 – Triple A Technologies – Confidential 17

India

Key Statistics

From our research, it is estimated that 97.5 million people, 7.1% of India’s total population,
currently own cryptocurrency.21

Crypto Adoption

In the past year, India’s crypto adoption rate has continued to grow rapidly as reflected in
their ranking on Chainalysis’s report (4th). Interestingly, India appears to have the most
active crypto retail market, as they come in first for both retail centralised and
decentralised value received, which is the measure of any retail activity/transaction
under 10K USD made.

Financial Landscape

India is one of the fastest-growing economies in the

world but there exists a significant gap in accessing
formal credit, especially when compared to other
developed nations. Currently, there are 130 million
adults in India that are unbanked or underbanked. 22

India’s credit card penetration is low, estimated at just 5.5%.23 One of the reasons credit
card penetration is so low in India is that banks have relatively strict requirements for
issuance and most Indians cannot meet them. Alternative payment methods such crypto
are frequently used to bridge the payment gap.

21 https://triple-a.io/crypto-ownership-data/
22 https://www.downtoearth.org.in/news/economy/india-still-among-countries-with-poor-access-to-banking-report-
83542#:~:text=Large%20shares%20of%20the%20global,China%20because%20of%20their%20size
23 https://www.kapronasia.com/india-payments-research-category/india-s-newest-fintech-unicorn-is-focused-on-credit-cards.html

© 2022 – Triple A Technologies – Confidential 18

Top ecommerce merchant segments

24

24 https://www.jpmorgan.com/merchant-services/insights/reports/india

© 2022 – Triple A Technologies – Confidential 19

Malaysia

Key Statistics

From our research, it is estimated

that 3.1 million people, 9.14% of
Malaysia’s total population, currently
own cryptocurrency.25

Crypto Adoption

Much like their ASEAN counterparts, the official bank of Malaysia, Bank Negra Malaysia,
has started their own project to explore the potential of the Malaysian central bank
digital currency (CBDC).26 In an academic report published by INTI University, it is
reported that two key Malaysian banks, Maybank and CIMB have already begun work with
FinTech companies, with the aim to encourage blockchain technology developments.

Financial Landscape

Industry findings estimate 55% of the country’s adult population is unbanked or under-
banked.27

25 https://triple-a.io/crypto-ownership-data/
26https://www.abacademies.org/articles/determinants-of-cryptocurrency-acceptance-as-payment-

method-among-consumers-in-penang-malaysia-13601.html
27https://www.thestar.com.my/business/business-news/2022/06/06/insight---tapping-into-the-

potential-of-digital-
banking#:~:text=Industry%20findings%20estimate%2055%25%20of,a%20loan%20from%20their
%20banks

© 2022 – Triple A Technologies – Confidential 20

Crypto Adoption in Tourism and Hospitality
There is an increasing number of tourism and hospitality businesses that are
adopting crypto as a payment method. According to the monthly report by
Travala, the total revenue for the month of October was $5,387,429, which
includes accommodation bookings, flight bookings, activity bookings and
concierge bookings. 80% of all bookings in October were paid with
cryptocurrencies.28

Back in 2013, CheapAir.com was one of the first online travel agencies to accept
bitcoin payments. Many online travel sites like Travala.com and Viator are now
accepting crypto payments worldwide.

In 2014, Latvia's flag carrier, airBaltic, became the world's first airline to accept
payments in bitcoin. Since then, several other airlines have joined the
cryptocurrency revolution, including LOT Polish Airlines.

There have been more hotels that are starting to accept crypto payments as well
such as the luxury hotel brand Kessler Collection, Resort World Las Vegas, Bobby
Hotels and more.

28 https://blog.travala.com/travala-com-monthly-report-october-2022/

© 2022 – Triple A Technologies – Confidential 21

Conclusion
Why Crypto Payments with TripleA

Volatility Free
Our merchants do not bear any price volatility risk of crypto. Our 25-min
locked-in exchange rate, instant payment confirmation and crypto-to-fiat
conversion enables merchants to receive the funds paid by their customer in
selected local currencies instantly.

Low Fees
If you are currently supporting credit card or PayPal payments on your website,
then you’re most likely familiar with the associated fees. For example, both credit
cards and PayPal charge around 2-3% per transaction. The costs associated with
processing credit card fees can eat into your margin. TripleA charges a flat 1%
processing fee, with no set-up or other hidden fees.

Chargeback Protection
Most merchants know that chargebacks hurt their business. They eat into
revenue that merchants invested time and resources into earning, and come with
chargeback fees that add insult to injury. With crypto payments, you are
protected from chargebacks. Transactions on the blockchain are immutable and
irreversible. If there is a need for refunds, another transaction can then be raised
easily via TripleA’s dashboard.

Ideal for Cross-Border Payments

Blockchain technology facilitates fast, secure and low-cost international payment
services through the use of encrypted distributed ledgers without the need for
intermediaries. Payments are not slowed down by bank holidays or limitations
in correspondent bank networks. According to a report by Credit Suisse, cross-
border wire payments today take days to clear and involve fees as high as 10%. 29

29 https://www.finextra.com/finextra-downloads/newsdocs/document-1063851711.pdf

© 2022 – Triple A Technologies – Confidential 22

Earn from a New Market of Crypto Owners
From our research, there are 47.2 million crypto owners in Southeast Asia. 30
Additionally, as mentioned above, there is a huge underbanked or unbanked
community in APAC that has little or no access to traditional banking services.
With a high mobile penetration rate in APAC, a huge portion of the population can
now easily make online payments using crypto.

Licensed by MAS
TripleA is licensed by the Monetary Authority of Singapore (MAS), under the
Payment Services Act (PSA) to provide Digital Payment Token services. We are
also licensed to provide Merchant Acquisition, Domestic and Cross Border Money
Transfer services. This allows all our merchants to operate in a fully compliant
and regulated environment.

Improve Consumer Stickiness

With TripleA’s payout solution, cashback in crypto can be implemented easily.
Crypto rewards are a way for consumers to passively earn cryptocurrencies
without actually buying them. They appeal to consumers who want to accrue
cryptocurrencies without the individual risk of investing. 44% of Gen Z and 47% of
Gen Y respondents respectively indicated that cryptocurrency as a reward is
appealing.31 Merchants are able to implement attractive crypto loyalty programs
to increase consumer stickiness.

Increased Revenue and Basket Size

TripleA’s merchants have reflected that consumers’ basket sizes that are paid in
cryptocurrencies tend to be bigger. For example, TripleA’s merchant, Novelship,
indicated that the average order value per customer is 20% higher when their
payment method is in cryptocurrencies.

30https://triple-a.io/crypto-ownership-data/
31https://www.digitalnationaus.com.au/news/appetite-for-crypto-from-loyalty-rewards-grows-
579625

© 2022 – Triple A Technologies – Confidential 23

References

1. PWC - Making sense of bitcoin, cryptocurrency and blockchain

2. Bitcoin Dominance - Real Bitcoin Dominance Index

3. Coindesk - Bitcoin Usage Among Merchants Is Up

4. University of Cambridge Judge Business School - 3rd Global Cryptoasset Benchmarking Study

5. Deutsche Bank Research - The Future of Payments, Part III

6. TripleA - Crypto Ownership Tool

7. ING International Survey - Mobile Banking 2018

8. IE CGC - Cryptocurrencies and the Future of Money - Full Report

9. Bank of International Settlements - Quarterly Review September 2017

10. Financial Conduct Authority UK - Crypto Asset Consumer Research 2022

11. Chainalysis - 2022 Geography of Crypto Report

12. Data Reportal - 2022 Global Digital Yearbook

13. Dalia Research - How many people actually own cryptocurrency

14. Arcane Research - The State of Crypto - The P2P Market

15. Chappuis Halder & Co. - How many active crypto traders are there across the globe?

16. Finder US - How many people own cryptocurrency

17. PRNewswire - Largest Bitcoin Ownership Survey Reveals 6.2% of Americans Own Bitcoin, While 7.3% are Planning to Buy

Some

18. Fidelity Digital Assets - Institutional Investors Digital Asset Survey

19. Blockchain Capital/The Harris Poll - Bitcoin is a demographic mega trend

20. https://datareportal.com/reports/digital-2022-big-rise-in-cryptocurrency-ownership

© 2022 – Triple A Technologies – Confidential 24

About TripleA
TripleA is a licensed cryptocurrency payment gateway
that provides seamless payment experiences for
businesses and cryptocurrency users globally.

Get in touch: sales@triple-a.io

More information: https://triple-a.io/

© 2022 – Triple A Technologies – Confidential