Emerging markets, especially in Asia, dominate the global crypto adoption index, with Vietnam taking first place, while the United States jumped to fifth, according to Chainalysis’ Global Crypto Adoption Index ‘2022’.
The analysis was conducted using data from quarterly index scores for 154 countries, ranging from the second quarter of 2019 to the present day, and re-indexing these numbers to illustrate the growth rate of crypto adoption worldwide.
Along with Vietnam and the United States, the Philippines, Ukraine, India, Pakistan, Brazil, Thailand, Russia, and China ranked in the top ten in the global cryptocurrency adoption index.
“A look at the sub-rankings shows that Vietnam shows very high purchasing power and population-adjusted adoption across centralized crypto-tools, DeFi, and P2P. Other sources also point to Vietnam’s love for cryptocurrencies.
Meanwhile, a recent survey by Finder put India first in terms of global adoption of Play to Earn (P2E) and Non-Foldable Token (NFT) games.
It was also revealed that African blockchain companies raised nearly three times as much as they did in the first and second quarters of 2022 ($304 million), as they had raised overall in 2021, at $127 million.
The 2022 Chainalysis report found that although growth has become choppy with the onset of the latest bear market, global adoption is still well above levels preceding the 2020 bull market, confirming that overall adoption has slowed worldwide due to the bear market, But he remained. Above market levels before going up.
“Our data shows that global adoption has leveled off in the past year after sustained growth since mid-2019,” said Chainalysis.
China re-enters the top ten
Perhaps surprisingly, China has regained its place in the top ten of the global cryptocurrency adoption index this year after taking the thirteenth position in 2021.
China has presented a strong front when it comes to the use of centralized services. “This is particularly interesting given the Chinese government’s crackdown on crypto activity, which includes a ban on all cryptocurrency trading announced in September 2021,” the report said. “Our data suggests that the ban was either ineffective or loosely enforced.”
on the flip side
- It was found that emerging markets such as Vietnam have dominated global cryptocurrency adoption largely because cryptocurrency offers unique and tangible benefits to people living in unstable economic conditions, such as those observed in lower middle income countries.
- It has been observed that users in lower- and upper-middle-income countries often rely on cryptocurrency to send remittances, maintain their savings in times of fiat currency fluctuations, and meet other financial needs unique to their economies. These countries also tend to be more dependent on and stable coins than other countries.
Why should you care
The United States is by far the highest ranked developed market country in the global cryptocurrency adoption index, but increasing adoption from now on could be a tough prospect for the country.
Read more about India’s ranking in the crypto world:
India ranks first in global adoption of NFT and Play-to-Ear games
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