According to the survey, the fastest adoption of cryptocurrencies is taking place in these countries

According to blockchain analyst firm Chainalysis, the adoption of cryptocurrencies rate adoption worldwide has increased by 880% in the last year, led by Vietnam, India, Pakistan and other emerging economies.

Global Cryptocurrencency Adoption Index 2021 entitled “Geography of cryptocurrency“ It compares the rates of cryptocurrency acceptance worldwide based on three main metrics: the value of cryptocurrencies received, the value of retail transactions, and the volume of trade on the P2P exchange between June 2020 and June 2021.

The fastest adoption of cryptocurrencies occurs in emerging economies

Vietnam is far behind and achieved an overall index score of 1. It was followed by India (0.37), Pakistan (0.36), Ukraine (0.29) and Kenya (0.28).

This is a significant change from last year’s Global Crypto Adoption Index, which placed Ukraine in first place with a score of 1. Vietnam placed tenth in last year and gained 0.443. While Kenya ranked fifth in last year’s index with a score of 0.645, India and Pakistan are new entrants in the top ten.

Analysts have pointed out that although higher adoption of cryptocurrencies rate occurred worldwide in the past year, this has been particularly evident in emerging economies. This can be largely explained by the large volumes of transactions on local peer-to-peer platforms, taking into account per purchasing power parity and the total number of Internet users.

“Our interviews with experts in these countries have revealed that many people use P2P cryptocurrency exchanges as their primary entry into the cryptocurrency sector, often because they do not have access to centralized exchanges.”

The report pointed out that many emerging economies are subject to massive devaluation of their currencies, forcing people to look for alternative ways to deposit their funds. In addition, digital assets are easier to trade internationally, which is particularly important because local governments can limit the amount of national currency that can be sent abroad.

Economic powers such as the US and China, meanwhile, have slipped to lower positions in the index compared to 2020. The US is currently in 8th place (in 2020 it was in 6th place), while China is in 13th place ( was 4.).

In the case of China, this is hardly surprising, especially given the country’s massive crackdown on BTC in the last few months. Nevertheless, the global acceptance rate of cryptocurrencies and its geographical distribution over the last year have shown that cryptocurrencies are indeed a global phenomenon.