Bitcoin has shattered previous records, reaching an all-time high of $109,400 during U.S. morning trading. This marks a dramatic 16% increase so far in May, fueled by a combination of favorable economic conditions, such as softer U.S. inflation, easing global trade tensions, and increased institutional interest. The surge is also linked to consistent inflows into Bitcoin exchange-traded funds (ETFs) and heightened liquidity across the cryptocurrency market, reflecting growing confidence among both retail and corporate investors.
As Bitcoin’s price climbs, several nations are accelerating their embrace of cryptocurrencies, each with unique approaches and motivations. El Salvador remains the most prominent example, having made Bitcoin legal tender in 2021. The country’s government mandates that all businesses accept Bitcoin, offers tax exemptions on crypto gains, and actively promotes financial inclusion through government-backed wallets and Bitcoin-based development bonds. Despite international skepticism and internal challenges, El Salvador’s bold strategy continues to attract crypto entrepreneurs and global attention.
The United Arab Emirates, particularly Dubai, has established itself as a leading crypto hub in the Middle East. By introducing progressive regulations and tax-free zones, the UAE has attracted a wave of crypto businesses and investors. Dubai’s Virtual Assets Regulatory Authority (VARA) provides a clear framework for digital asset operations, balancing innovation with investor protection. Other notable crypto-friendly jurisdictions include Hong Kong, Portugal, and Malaysia, each offering favorable tax regimes, regulatory clarity, and growing infrastructure to support digital asset adoption.
Meanwhile, grassroots adoption is surging in lower-middle-income countries, especially across Central and Southern Asia and Oceania. Nations like Vietnam, India, and the Philippines lead in peer-to-peer trading and decentralized finance activity, using crypto for remittances and as a hedge against currency devaluation. This bottom-up adoption, combined with top-down institutional growth in the U.S. and Europe, is reshaping the global financial landscape and driving Bitcoin’s historic rally.
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(Source: Coincub | CNBC | CitizenX | CCN | Oblex)
