A lot of people have been asking: Which country is using cryptocurrency the most? Digital assets are being used for a variety of reasons, including payments and investing, as the cryptocurrency industry expands. However, depending on variables like restrictions, the use of cryptocurrencies for such purposes substantially differs by nation.
The days when cryptocurrencies were only a niche, revolutionary idea for those with a desire of using technology to bring about social change and those with a nose for a good investment are long gone.
The excitement around cryptocurrencies has given way to reality, with over 180 million people worldwide using Bitcoin, the most well-known cryptocurrency exchange, and more than 18,000 businesses worldwide now accepting cryptocurrency payments.
However, Bitcoin adoption and use are erratic worldwide, not taking off in every nation in the same way. We also need to address the technology of cryptos to understand every aspect of this process.
According to recent research, the United States ranks first globally in terms of overall cryptocurrency adoption, receiving a score of 7.75 out of 10. According to information provided by Merchant Machine on August 22, Ukraine comes in second with a score of 5.96, followed by the United Kingdom at 5.79.
The score specifically took into account the number of cryptocurrency users in a nation, the worldwide decentralized finance (DeFi) adoption index, the number of merchants accepting cryptocurrencies, the number of Bitcoin (BTC) ATMs, and the volume of monthly cryptocurrency search phrases.
The analysis examined a sample of several variables from 50 different countries to determine which nations invest the most in cryptocurrencies.
US and UK are leading countries in the crypto market
The study points out that the United States and the United Kingdom rank first thanks to things like the size of their economies and a developed crypto economy. However, the report said that Ukraine, the continent’s lowest nation by GDP and GNI per capita, scores highly because of broader trends in emerging economies’ adoption of cryptocurrencies.
Additionally, with a population ownership rate of 12.73%, Ukraine tops the list of the ten nations with the most overall crypto usage.
The devaluation of the native currency in these nations’ economies forces people to buy cryptocurrencies as a store of value.
This feature is somewhat supported by the research’s forecast that, over the next three years, Nigeria will be the nation with the highest overall cryptocurrency usage. The experts predict that if crypto usage in Nigeria keeps increasing at the rate it is now, eventually everyone will be using digital assets.
Why crypto is so popular in Ukraine?
Unfortunately, the war that has been raging in the country of eastern Europe since Russian troops invaded on February 24 is the reason that Ukraine ranks second after the US in terms of crypto usage.
In a global ranking created by the cryptocurrency research group Chainalysis in 2021, the nation was already placed fourth for its inhabitants’ adoption of cryptocurrencies, having begun doing so before the commencement of the war.
However, as soon as hostilities with Russia began, the Ukrainian government made the calculated choice to increase its usage of cryptocurrencies to sustain its economy.
Mykhailo Fedorov, the minister of Ukraine’s digital transformation, is said to have instructed his deputy to set up official government wallets that could accept bitcoin payments on the second day of the conflict.
Since the start of the Russian assault, Kyiv has raised more than €120 million in cryptocurrency as a result of this audacious move, which has helped to assist its troops and purchase military supplies.
Although the market collapse has raised questions about the viability of cryptocurrencies, some people in the sector believe that a rally is soon to come. For instance, commodity strategist Mike McGlone of Bloomberg Intelligence has argued that the market will increase in the second half of the year.
It is important to note that the regulatory environment will have an impact on how cryptocurrencies are adopted in various nations. Notably, in response to the market meltdown, the majority of jurisdictions have intensified their efforts to pass pertinent laws.
Which country is using cryptocurrency the most (2022)?
According to a recent study by Merchant Machine, a website that compares payment processing services, the US, Ukraine, and the UK are the top 3 countries in the world for the use of cryptocurrencies, based on the number of cryptocurrency owners, the number of businesses that accept cryptocurrencies, and the availability of Bitcoin ATMs.
While India has over 100 million cryptocurrency owners, the US has over 27 million, making it the second-largest market in the world, but it also has the highest proportion of crypto owners relative to its entire population.
The United States has more Bitcoin ATMs than any other country, with over 33,000 devices compared to 2,458 in Canada. In addition, India only has two Bitcoin ATMs.
Additionally, the US has one of the strongest economies in the world, which may help to explain why cryptocurrency has become so popular there. The same rationale, however, does not support why cryptocurrency has gained such significance in Ukraine.
The complete list of the top 10 nations using cryptocurrency the most is as follows:
- The Netherlands
If you are a crypto-player, don’t forget to check out the latest Binance crypto WODL answers (August 2022)!