Over 12,000 cryptocurrencies or “altcoins” are out there, and new ones seem to come up every month. Everything seems to be a reason to create a new crypto: a meme (Dogecoin), a Netflix show (Squid Game), and an NFT (ApeCoin). There’s a sizable rise in the use of cryptocurrencies. What countries are the crypto champions, though? Keep reading and find out.
The Crypto Spring
Cryptocurrencies have left the fringe of internet forums for good and are entering the mainstream. Bitcoin is far more widespread around the globe than we can imagine. In some countries, it’s even possible to use Bitcoins and other cryptos in street shops and cafes. More countries are opening up to this kind of transaction, trying to make them safer and more transparent. Here are the countries with the highest volumes of crypto transactions.
El Salvador
- Users: the entire country
El Salvador might not be the country with the most crypto users. Still, it’s our most extreme example of crypto usage by far. It’s the first country to adopt Bitcoin (or any cryptocurrency for that matter) as legal tender. The young president, Nayib Bukele, announced the bill last September. The president claims that the move helped improve the local economy and bridge the gaps left by a faulty banking system that covers only about 30% of the population.
India
- Users: over 100 million
The relationship between crypto assets and the Indian government is a bittersweet one. India is one of the leaders in crypto ownership worldwide. Nevertheless, the government is considering more restrictive laws. Meanwhile, users and investors fear that a total ban could be brewing. It’s still unclear what kind of restrictive measures will be imposed from the top down, though. Meanwhile, the crypto market in India remains one of the busiest in the world.
Nigeria
- Users: 33.4 million
Cryptos don’t seem to care about bans. The Central Bank of Nigeria has imposed several restrictions on this kind of transaction. Yet, it thrives. Transactions with altcoins are much cheaper than regular bank transfers. Besides, less than 40% of the adult population has access to the banking system, making crypto transactions even more appealing. Nigeria was the country with the most intense crypto operations worldwide last year.
The United States
- Users: 27 million
Over 8% of the American population owns at least one crypto asset. According to Triple-A, 70% of these owners have an annual income above USD 1 million. The demographics for this market show that most crypto owners age between 18 and 44. Like in Japan, most Americans have access to the internet, mobile devices, and the banking system. Besides, cryptos are unrestricted in the country; no one needs to worry about bans.
The United Kingdom
- Users: 9.8 million
The crypto market is on a steep rise in the United Kingdom and has increased six times over the past three years. Recently, the British Parliament passed a bill stating that crypto assets should follow the existing banking rules. Altcoins face no legal restrictions in the UK, although crypto assets are followed closely by the government via indirect laws to prevent eventual collapses. This market is likely to thrive there in the next few years.
China
- Users: uncertain
China is trying to ban all cryptocurrencies in the country, so far, fruitlessly. Chinese residents keep getting around the rules to move their crypto assets abroad and keep them safe from the government. The country has its stablecoin pegged to the yuan, with over 260 million active accounts. Anyway, it’s challenging to get the actual figures there after the ban, which only spared stablecoins.
Ukraine
- Users: 5.5 million
Ukraine is on the fast track to becoming one of Europe’s leading markets for altcoins. Over 12% of the population owns this kind of digital asset. The government is investing in two new mining plants: one near Zaporizhzhya and another close to the Rivne power plant. It’s not possible to use cryptos to pay for goods and services yet, though; only online transactions. Nevertheless, Ukraine is one of the friendliest European countries for crypto users.
Japan
- Users: 5.48 million
Japan is a perfect place for any hi-tech trend to thrive. Pretty much the entire population has access to the internet, mobile technology, and a modern banking system. Such friendly conditions proved to be a hotbed for crypto crazes. This market has increased about six times between 2020 and 2021. During the same period, over 6% of the population had some sort of interaction with altcoins.
Vietnam
- Users: about 4.22 million
It’s hard to believe that cryptos are actually prohibited in Vietnam while looking at the statistics. The country records the second-highest usage of cryptocurrencies in the world. Over 6% of the population frequently uses this kind of currency for a wide variety of transactions. However, recent data suggests that over 60% of the population would like to buy cryptos or are at least interested in the subject.
Peru
- Users: 1.2 million
Cryptos are rising fast in Peru, one of the South American countries with the most intense usage. 3.7% of the population owns at least one kind of crypto. The number of crypto wallets has increased by 20% since 2020, and more people are making this kind of transaction frequently. This market is still unregulated there, but the local government is taking steps to make it safer and more transparent for all parties involved.
Encrypted Wealth
The volatility of the crypto assets is no secret to anyone. Since Pizza Day, back in 2010, we’ve seen the rise and fall of quite a few altcoins. Bitcoins have been all over the news, drawing dramatic peaks and valleys on their value chart. However, there are many other altcoins to choose from.
Still, no one seems to wonder whether cryptos are here to stay: this market is too big to disappear at this point simply. Specialists suggest that those who want to invest in this kind of asset should look for a diversified portfolio of cryptos instead of putting all eggs in the same basket.
