The Top Ten Countries For Crypto Activity

 

Based on their methodology, Chainalysis’s ‘Geography of Cryptocurrency Report for 2020’ ranked countries as follows:

1. Vietnam

2. India

3. Pakistan

4. Ukraine

5. Kenya

6. Nigeria

7. Venezuela

8. United States

9. Togo

10. Argentina

Source: https://blog.chainalysis.com/reports/2021-global-crypto-adoption-index/

On the surface, the list is surprising, but keep in mind that this is an index of adoption, not actual numbers of users, which would represent GDP per capita and population.

According to the Chainalysis Index, the top country for crypto adoption is Vietnam, a young and tech-savvy country with a speculative culture that favours gambling and investment and where remittances are a substantial component of GDP (just over 6% in 2020 according to World Bank estimates). This creates a favourable environment for bitcoin adoption.

It's not surprising that India and Pakistan are ranked second and third in the worldwide crypto adoption ranking. Remittances are essential in both nations, which have young populations, increasing mobile coverage, and growing middle classes that are well-educated and financially savvy but lack options to invest in currencies other than national currencies.

Four of the top ten countries – Nigeria, Venezuela, Argentina, and Kenya – demonstrate crypto potential as a hedge against hyperinflation to varied degrees. Except for the United States, all of the countries on the list rely heavily on remittances, for which crypto is increasingly vying with comparatively expensive conventional solutions such as Western Union or Moneygram.