Exploring Global Expansion for Crypto Startups: Frameworks for Risk and Challenge Management

Abstract

Abstract This study addresses the risks and challenges faced by crypto startups in the process of global expansion, combining the blockchain ecology and born global theory to construct a systematic research framework. Semi-structured interviews and thematic analysis were used to conduct in-depth interviews with eight industry experts from crypto wallets, exchanges, DeFi project, and gaming project. Here are the research findings: 1. Expansion drivers: rapid user scale acquisition, pursuing international listing opportunities & avoiding unfavorable regulation; 2. Key challenges: fragmented regulatory environment, high customer acquisition costs, security and technology risks, cross-cultural collaboration challenges; 3. Response strategies: compliance arbitrage and trust augmentation by improving operational transparency and auditing, building local communities and partner networks, registering in friendly jurisdictions, and continuously optimizing technology and security systems. This study suggests that crypto startups build flexible risk management systems based on the regulatory and user characteristics of each target market, and take long-term sustainability into account while pursuing short-term growth; it also calls for future research to incorporate larger samples, quantitative methods, and longitudinal tracking to validate the effectiveness of different strategies.