Cities around the globe are competing to adopt and innovate blockchain technology.
It’s clear that this industry has made progress in 2018. Here are nine cities, from regulatory clarity to an thriving startup scene that have helped to shape the cryptoscape in 2024.
1.Berlin
In this year’s tax reform, Germany has clarified the rules on staking, lending and reinvesting, which will reduce uncertainty among retail investors and institutions. The city's collaborative culture, bolstered by events like the Berlin Blockchain Week, attracts developers and entrepreneurs alike.
“Berlin is solidifying its place as Europe’s premier crypto hub for 2025,” Hannes Graah, founder of digital wallet Zeal,” told Decrypt. With a deeply rooted cryptoculture and a vibrant community of developers, this city leads the way when it comes to integrating blockchain in daily life.
This tax is based on the standard income tax, which may be up to 45%. In addition, there’s a 5.5% Solidarity Surcharge. If a crypto user has held their coin for a minimum of a year then they are not taxed on their gains. tax-free.
2.Singapore
Singapore’s Monetary Authority has expanded the regulatory sandbox for Fintech Startups in 2024. It will provide new opportunities to fintech companies in a controlled setting, to test tokenized assets, Decentralized Finance or DeFi and other Blockchain-based solutions.
This year, MAS has also streamlined the licensing process and clarified guidelines for providers of digital payment token services, reducing barriers to entry for businesses. Singapore’s forward-looking crypto framework, combined with its strategic location in Asia makes it a key gateway for companies targeting Eastern and Western markets.
Danny Chong is the co-founder and CEO of Tranchess. Tranchess offers a yield-based and multi-chain stake protocol. Decrypt. Singapore’s strengths complement each other to create an economic zone that can transform the crypto-industry.
3.Dubai, United Arab Emirates
Dubai’s Virtual Asset Regulatory Authority (VARA) issued comprehensive crypto guidelines in 2024, solidifying the region's position as a crypto powerhouse. The DMCC Crypto Center, zero-tax policies and other initiatives continue to draw global exchanges.
Brandon Truong is the co-founder and CEO of ZetaChain. Decrypt.
Vara has implemented an a comprehensive framework This new framework will cover marketing, consumer safety, prohibited activity, and international compliance, in addition to the existing frameworks that were put into place last year. This has helped attract outside crypto companies.
4.Tokyo
Japan is committed to ensuring that crypto innovation and consumer protection are balanced in 2024. Financial Services Agency has implemented the new regulations in April. Tax reforms In the previous year, it was decided to eliminate levies on corporate profits that were not realized for cryptocurrency holdings.
This move encourages more institutional investment, creating a better environment for crypto and blockchain businesses.
Tokyo remains a hub of blockchain gaming and non-fiat currencies, thanks to the city’s tech-forward infrastructure. A vibrant startup eco-system, coupled with the government’s support of Web3 innovations, have made Tokyo a hotbed for entrepreneurs and developers.
5.Sydney is Australia
While regulations have been slow to develop in Australia—and even as Reserve Bank governor Michele Bullock continues to thumb her nose at the industry—Sydney plays host to a vibrant crypto community.
The International Conference Center hosted the Aus Crypto Con this year, which showcased many of the latest innovations in cryptography from around Asia, including some familiar old ones.
Australian and Investment Commission also explores regulations in the near future to determine when and how cryptocurrency should be classified.
The guidance, if implemented by the Australian government, would be the very first policy that is geared to the budding crypto-industry in Australia.
Still, some lingering Questions remainLeaders in the local crypto industry are fighting back against concerns that certain products such as stablecoins with yields and tokenized asset should be considered to be financial products.
6.San Francisco, United States
San Francisco's Silicon Valley continues to foster disruptive crypto projects despite a challenging U.S. regulatory environment.
The venture capital funding of Web3 startups will surge in 2024. This is especially true for decentralized platforms. Bluesky Social a decentralized company that operates social media, received a $15 Million Series A Investment in October. The investment was made to increase its users and create subscription models.
The investment shows renewed optimism in regards to decentralized networks. Investors in venture capital are more and more backing projects that encourage user autonomy.
7.Miami United States
Miami is a center of activity for cryptocurrency entrepreneurs. The University of Miami will host the second annual Business of Blockchain Technology Conference in May 2024. This conference provided an opportunity for policymakers, academics and professionals to share their knowledge and discuss the latest blockchain developments.
Although Mayor Francis Suarez is a long-time proponent of the blockchain, there were no new significant initiatives to broaden blockchain education reported in this year.
The city also organized major events such as WAGMI Miami – a Web3 and Blockchain conference which attracted thousands to attend – while the Art Basel convention attracted crypto artists, creators and designers. Such events and others only reinforced Miami's status as a crypto hub and center of influence.
8.New York City United States
New York City has strengthened its role as a hub for blockchain technology in 2024, thanks to tightened crypto regulation and improvements made by the industry. New York State Department of Financial Services, or NYDFS, introduced more strict requirements for crypto companies. This included updated guidelines on customer service and enhanced policies regarding coin listings.
Circle, issuers of USDC stablecoin announced their move to New York in November ahead of a planned IPO. New York's balance between regulatory oversight and fostering blockchain innovation highlights the city’s growing appeal as Wall Street firms, including BlackRock, continue to move on the asset class.
9.Hong Kong
Hong Kong has proposed a number of initiatives to help it become the leading hub for crypto-currency and wealth management. tax exemptions Cryptocurrency investment gains. Financial Services and Treasury Bureau proposed expanding capital gains exemptions to crypto, overseas property, and carbon credits, targeting sophisticated and private fund investors.
In addition, the city has tightened regulations regarding stablecoins. It requires issuers of these coins to have local reserves as well as a physical presence. Combining these measures with existing tax benefits for family office, Hong Kong hopes to increase institutional capital as well as foster innovation in blockchain. Hong Kong has positioned itself as a global player on the market for digital assets.
