Cryptocurrency, the ubiquitous term in the realm of finance, has garnered an estimated 31 million users across Europe, as per projections from TripleA, a cryptocurrency payment gateway.
Asia takes the lead with 263 million users, followed by North America with 57 million, and Africa with 38 million.
In Europe, the adoption of cryptocurrencies varies significantly from one country to another.
As per the 2023 Global Crypto Adoption Index released by Chainalysis, a blockchain data platform headquartered in New York, Eastern European nations emerge as the primary enthusiasts of crypto investments.
The index, which measures the extent to which individuals allocate their wealth to cryptocurrency on a scale ranging from 0 to 1, reveals that the top three European countries are all situated in the east. Ukraine leads with a score of 0.215, followed by Turkey at 0.142 and Russia at 0.140.
Subsequently, attention shifts to the western part of Europe, where the United Kingdom secures the fourth position with a score of 0.121, while Spain takes the fifth spot with a score of 0.062.
Nevertheless, when considering the entire world, Europe assumes a secondary role. The region commonly referred to as the “Global South” emerges as the prominent star in the realm of cryptocurrency.
Asia emerges as the dominant force on the global stage, with India spearheading grassroots crypto adoption worldwide, achieving the highest score on the index (1). Following closely are Nigeria (0.642) and Vietnam (0.568).
With scores below 0.5, the US (0.367) and Ukraine (0.215) claim the fourth and fifth positions, respectively. Notably, Ukraine stands as the sole European representative among the world’s top five and top ten countries.
Chainalysis reports that Central and South Asia exhibit the highest levels of crypto adoption, with six of the top ten countries situated in this region.
The momentum in crypto investments continues to surge. While Bitcoin approaches its all-time high value, the total market capitalization of cryptocurrencies has escalated by 5% within 24 hours, reaching $2.44 trillion, exceeding the GDP of Germany, the world’s third-largest economy.
As crypto gains traction in financial markets, significant efforts are underway to integrate it into the traditional financial system.
In Europe, over 1,100 blockchain-related entities thrive across Switzerland, Liechtenstein, and northern Italy, collectively valued at $185 billion as of December 2022.
Moreover, numerous lower-middle-income (LMI) countries, such as El Salvador, lead in the adoption of cryptocurrency. Notably, El Salvador became the first nation to mandate all businesses to accept Bitcoin.
