El Salvador Surpasses Europe in Crypto Regulation Rankings

Coincub has released its Crypto Asset Risk Report 2025, assessing the global crypto regulatory landscape. Highlighting El Salvador as a frontrunner, the report ranks it first globally for digital asset regulation and innovation. El Salvador's integrated legal framework and proactive enforcement have set a benchmark in digital asset governance, managing over $150 billion in digital assets.

Other countries, including Switzerland, Japan, UAE, Singapore, and South Korea, offer stable regulatory environments. Conversely, Europe has fallen to 22nd place due to MiCA's licensing issues, which have led to increased compliance costs and a significant industry exodus.

The United States maintains significant capital depth but faces regulatory uncertainty. Since 2020, global crypto penalties have reached $13.5 billion, with notable breaches, such as a $1.5 billion hack at ByBit in early 2025.