Jeremy Allaire shares a prediction on DOGE and other Altcoins

Jeremy Allaire, CEO of Circle, the company in charge of issuing the USDC predicts increased demand for various digital assets. These include Dogecoin, Bitcoin, Ethereum and Cardano. He points out that demand will mainly come from emerging markets, of which Hong Kong and China are central. It’s worth remembering that despite some occasional rises, the cryptocurrency market in general is in decline.

SCOOP: HSBC, the largest bank in Hong Kong, today allows its customers to buy and sell Bitcoin and Ethereum ETFs listed on the Hong Kong exchange, and is also the first bank in Hong Kong to allow it. The move will expand local users’ exposure to cryptocurrencies in Hong Kong. pic.twitter.com/vH0LieSVGw

— Wu Blockchain (@WuBlockchain) June 26, 2023

Jeremy Allaire sees Hong Kong’s attractive crypto regulations as a boost

For several months now, Hong Kong, with the support of China, has been taking positions in relation to the crypto industry that tend to make it a major crypto hub. It all starts with regulation, which is increasingly favorable to digital assets. Firstly, Hong Kong’s Securities and Futures Commission (SFC) requires all exchanges to be registered and licensed before offering services. And, the registration rules are clear. So, in the event of problems with the courts, parties will know which documents to rely on to argue their case.

Secondly, crypto companies are obliged to comply with anti-money laundering (AML) and counter-terrorist financing (CFT) regulations. This requires them to keep personal data on users and various transactions, including the transaction amount.

The disclosure of certain documents, on June 26, led to the discovery that HSBC Hong Kong had already begun to authorize trading in Bitcoin and Ethereum exchange-traded funds (ETFs) of instruments listed on the Hong Kong Stock Exchange. However, the region’s largest bank has yet to confirm this. But if confirmed, Hong Kong would be better positioned than the USA in this respect. In Jeremy Allaire’s view, these are all factors working in favor of certain cryptos.

A much-needed boost for the crypto market

Of all the digital assets that Circle CEO Jeremy Allaire sees rising, DOGE is probably the most stable. Otherwise, the other altcoins mentioned are being kept fairly low. In fact, Dogecoin, the megacoin with the largest market capitalization, recovered in the second half of June. DOGE is trading at $0.065, up 13% from June 2023 lows. This is still a long way from its April performance. A comparison with the start of the second quarter of 2023 reveals a 40% decline.

Hong Kong wants to take a technology-neutral approach to regulating cryptocurrencies. In other words, the rules will apply to all cryptocurrencies. With this, could China claim leadership over cryptocurrencies at the expense of the USA?