What happened: The data compiled by Finbold has shown that the number of crypto users worldwide increased to 417.5 million as of May 2023 from 305 million in 2022, with an over 36.88% surge. Asia has become the continent with the highest crypto user number. The region also showed the biggest growth by doubling the number of crypto users from 130 million to 260 million in a year. Oceania, South America, and North America experienced relatively smaller growth in related figures. On the other hand, Europe and Africa have become the only two continents seeing a decrease in the number of crypto users year over year (YoY). Details: The report also listed the top ten countries with the highest crypto ownership rates among the population. Thailand ranked first, with a 9.32% rate. In the top five, the country was followed by India, Brazil, Pakistan, and France, respectively. The data pointed out that around 5% of the population consists of crypto owners in the rest of the list. Why it matters: The 36.88% overall growth indicates that more than 110 million people have entered the crypto market over the last 12 months despite regulatory concerns worldwide. Regulatory tension has intensified all around the world since 2022, especially after the collapses of high-profile crypto firms, including the previously third-largest crypto exchange FTX and the multi-billion-dollar Terra ecosystem. However, the heightened tension did not prevent the new investors from joining the crypto industry. Finbold cited the latest bear market, the increase in companies accepting crypto as a payment method, and the U.S. banking crisis as the reasons for the surge in numbers. Where to see the impact: Another recent research from GWI also showed that crypto ownership increases more in countries with higher annual inflation rates because the economic downturn forces people to search for alternative financial instruments to the traditional ones. If this trend continues without a major collapse this year, 2024 is expected to see a further increase in global crypto ownership since the major economies in the world, including the U.S. and Europe, are currently passing through a strong recession. |
