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Asia leapfrogging the West in onchain retail use as regional hubs lead on stablecoin rules

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Hong Kong — Asia is outpacing Western markets in the adoption of onchain financial services, driven by a focus on user utility and proactive regulation. While the West remains focused on institutional asset management, Asian markets are prioritizing high-frequency retail applications and cross-border trade.

During a panel discussion at Consensus Hong Kong, industry leaders highlighted how different regional dynamics shape blockchain growth. Suhan Zhao, head of APAC at Aptos Labs, noted a distinct shift toward real-world use cases. “In Asia, there is a high adoption of digital payment, and also there’s a high willingness to deploy new technology at scale,” Zhao said. She pointed to South Korea’s Lotte Group, which issued over 5 million mobile service vouchers on the Aptos network, reaching 1.3 million users in under three months.

Regulatory progress is a primary engine of this growth. Niki Ariyasinghe, vice president for Asia Pacific and Middle East at Chainlink Labs, identified Hong Kong and the United Arab Emirates as the most advanced markets for stablecoin regulation. He argued that stablecoin adoption in Asia often stems from a fundamental need for efficiency rather than speculation. “Ultimately, it’s a willingness to use a new form of payment because of the value it delivers. Ultimately, it’s cheaper, it’s quicker, or it’s more convenient at the end of the day,” Ariyasinghe said.

Small businesses engaged in international trade represent a key demographic for these digital assets. These firms use stablecoins to bypass a fragmented traditional payment infrastructure that often takes days to settle. Nick See Tong, APAC regional lead for Base, emphasized that local stablecoins remain essential for mass market penetration. “A merchant selling wonton mee on the side is not going to accept USDT, USDC or any USD stablecoin. They want Hong Kong dollars,” See Tong said.

Meet Latam-GPT, the new Open Source AI Model for Latin America

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A new open source AI model trained on the languages and cultures of Latin America has been introduced by the Andean nation of Chile.

More than two years in the making, Latam-GPT was developed by scientists, researchers and professionals from more than 60 institutions across 15 different Latin American and Caribbean countries under a program coordinated by Chile’s National Center of Artificial Intelligence, CENIA.

Also participating in the effort were the Chilean Ministry of Science, Technology, Knowledge and Innovation, AWS and the Development Bank of Latin America and the Caribbean.

The model was built with language, data and context specific to Latin America and the Caribbean, amid growing unease globally about the current dominance of the AI sector by big U.S. tech vendors and the fast-developing sovereign AI movement.

“Unlike models trained primarily with information in English and cultural frameworks from the global north, Latam-GPT understands the cultural and linguistic nuances, as well as the historical and political contexts of Latin America,” according to a CENIA release. CENIA launched the model at an event in Santiago on Feb. 10 at which CENIA director Alvaro Soto said Latam-GPT enables Latin America “to join the AI revolution as a key player”.

Related:Mistral Cites Euro Vision With $1.4B for Swedish AI Data Center

He was backed up by the country’s science minister, Aldo Valle, who added: “This project stems from the conviction that regional integration is the only realistic path to achieving technological sovereignty with a democratic purpose.” Also in attendance was Chile’s president, Gabriel Boric, who welcomed the model’s release with a post on X.

The need for a technology such as Latam-GPT appears evident, given that research has shown that data in Spanish, the language used by most of Latin America, has until now accounted for only about 4% of the data used to train language models. Portuguese, Brazil’s native tongue, has made up as little as 2% of training data.

Spanish and Portuguese were used for the main content of LatamGPT, and the project aims to include indigenous languages as well.

The model was developed on a base architecture of Meta’s Llama 3.1 open model, with 70 billion parameters, and trained on officially approved texts obtained with permission.

In total, more than 300 billion plain-text tokens — equivalent to around 230 billion words — were collected under license and curated to provide what is claimed to be a “high quality dataset,” according to CENIA.

However, LatamGPT’s potential to make inroads into the AI market dominated by a few U.S. and Chinese companies could be limited. It was developed on a budget of only $550,000, the AP reported. 

Related:Alibaba unveils RynnBrain AI model to power robots

However, Latam-GPT’s availability on Hugging Face and GitHub indicates that some see it as useful foundational infrastructure for those looking to develop future regional applications.

 

Is The Bull Market Over?

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Key takeaways:

  • BTC open interest falls to $34 billion, but stable BTC-denominated volume suggests leverage demand remains unchanged.

  • Weak US jobs data and Bitcoin options skew indicate a bearish shift, even as gold and stocks show relative strength.

Bitcoin (BTC) price has struggled to sustain levels above $72,000 for the past week, leading investors to question whether institutional demand has evaporated. The aggregate Bitcoin futures open interest plummeted to its lowest level since November 2024, fueling fears of a retest of the $60,000 support as uncertainty grows.

BTC futures aggregate open interest, USD. Source: CoinGlass

The aggregate BTC futures open interest hit $34 billion on Thursday, a 28% drop from 30 days prior. However, when measured in Bitcoin terms, the metric remains virtually flat at BTC 502,450, suggesting that demand for leverage has not actually decreased. Part of this decline is also attributable to forced liquidations, which totaled $5.2 billion over the past two weeks.

Weak bullish leverage demand confirms BTC’s worrisome market decoupling

Investors are increasingly frustrated by the lack of a clear catalyst for Bitcoin’s 28% decline over the last month, especially as gold reclaimed the $5,000 psychological level and the S&P 500 traded just 1% below its all-time high. Some analysts argue that this risk-aversion stems from emerging signs of weakness in the US labor market.

The US Labor Department revealed on Wednesday that the US economy added only 181,000 jobs in 2025, a figure weaker than previously reported. However, the White House has downplayed these concerns. According to the BBC, officials argue that the slowdown in population growth as a result of its immigration policies has reduced the number of working positions the US needs to create.

Cryptocurrencies, Gold, Bitcoin Price, Economy, Markets, United States, Bitcoin Futures, Market Analysis, S&P 500, Bitcoin ETF
US weekly initial jobless claims (left) vs. Bitcoin/USD (right). Source: Tradingview

Bitcoin’s record 52% crash on March 13, 2020, occurred during the peak of the COVID-19 pandemic fears, which anticipated a surge in jobless claims. If economic growth is currently at risk, odds are the US Federal Reserve will cut interest rates sooner than anticipated. This reduces the cost of capital for companies and eases financing conditions for consumers, explaining the stock market strength seen in 2026.

The lack of confidence in Bitcoin is evident through the weak demand for bullish leveraged positions, making the decoupling from traditional markets even more worrisome.

Cryptocurrencies, Gold, Bitcoin Price, Economy, Markets, United States, Bitcoin Futures, Market Analysis, S&P 500, Bitcoin ETF
Bitcoin futures annualized funding rate. Source: Laevitas.ch

The annualized funding rate on Bitcoin futures held below the neutral 12% threshold for the past four months, signaling fear. Thus, even as the indicator recovered from the negative levels of the prior week, bears continue to have the upper hand. Professional traders remain unwilling to take downside price risk exposure, according to Bitcoin options markets.

Related: Is this crypto winter different? Key observers reevaluate Bitcoin

Cryptocurrencies, Gold, Bitcoin Price, Economy, Markets, United States, Bitcoin Futures, Market Analysis, S&P 500, Bitcoin ETF
BTC 30-day options delta skew (put-call) at Deribit. Source: Laevitas.ch

The BTC options delta skew at Deribit surged to 22% on Thursday as put (sell) instruments traded at a premium. Under normal circumstances, the indicator should range between -6% and +6%, reflecting balanced upside and downside risk aversion. This skew metric last flipped bullish in May 2025 after Bitcoin reclaimed the $93,000 level following a retest of $75,000.

While derivatives metrics reflect weakness, the $5.4 billion average daily trading volume in US-listed Bitcoin exchange-traded funds (ETFs) contradicts speculation of fading institutional demand. Although it is impossible to predict what will cause buyers to display strength, Bitcoin’s recovery likely depends on improved visibility into the US job market conditions.