Asia leads the world in using cryptocurrencies, and China is one of the top 10 countries.
Chainalysis’ 2022 “Global Crypto Adoption Index” shows that emerging markets, especially in Asia, are the most likely to use cryptocurrencies. Vietnam is at the top of the list, while the U.S. has moved up to fifth place.
The analysis was done by re-indexing the quarterly index scores of 154 countries from the second quarter of 2019 to the present. This showed the rate of growth of crypto adoption around the world.
In addition to Vietnam and the United States, the Philippines, Ukraine, India, Pakistan, Brazil, Thailand, Russia, and China also made it into the top 10.
“If you look at the sub-rankings, you can see that Vietnam has a very high purchasing power and population-adjusted adoption of centralised, DeFi, and P2P cryptocurrency tools.” “Other sources have also talked about how much Vietnam likes digital currencies,” the report said.
Related: Even though sales are up, Tesla is rethinking its retail strategy in China.
A recent survey by Finder found that India has the most play to earn (P2E) and non-fungible token (NFT) games out of any country in the world.
It was also said that African blockchain companies raised almost three times as much money ($304 million) in the first and second quarters of 2022 as they did in the whole of 2021 ($127 million).
The latest bear market has made growth less steady, but the 2022 Chainalysis report found that global adoption is still much higher than it was before the 2020 bull market. This shows that global adoption slowed because of the bear market, but it is still higher than it was before the bull market.
Chainalysis said, “Our data shows that the rate of global adoption has stopped growing over the past year after growing steadily since mid-2019.”
China is back in the top ten.
This year, China moved back into the top ten of the Global Crypto Adoption Index after being in 13th place in 2021. This may come as a surprise.
When it comes to the use of centralised services, China has put on a strong front. The report said, “This is especially interesting because the Chinese government is cracking down on cryptocurrency activity. “In September 2021, all cryptocurrency trading will be banned.” “Our data suggests that the ban hasn’t worked or hasn’t been enforced very well.”
The other side
Emerging markets like Vietnam were found to have most of the world’s crypto users. This is because cryptocurrency offers unique, real benefits to people who live in unstable economies, like those in lower-middle-income countries.
Related: The U.S. is thinking about imposing sanctions on China to stop Taiwan from acting, and Taiwan is asking the EU to do the same.
People in lower-middle-income and upper-middle-income countries often use cryptocurrency to send remittances, keep their savings safe when the value of fiat currency goes up and down, and take care of other financial needs that are specific to their economies. Also, these countries tend to depend more on Bitcoin and stablecoins than other countries do.
Why should you care?
On the Global Crypto Adoption Index, the United States is by far the developed market with the highest score. However, getting more people to use cryptocurrencies could be hard for the country from here on out.
Find out how India ranks in the world of crypto:
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