Central and Northern Europe accounts for 22% of global crypto volume

According to Chainaliz, Central, Northern and Western Europe accounted for 22% of global crypto volume between July 2023 and June of this year.

Blockchain forensics firm Chainaliz noted in a recent research report that Central, Northern and Western Europe achieved $987.25 billion in on-chain value between July 2023 and June, making it the second-largest crypto economy globally.

Countries in CNWE by crypto value received | Source: Chainaliz

This figure accounts for more than 21.5% of the total global transaction volume, with most CNWE countries witnessing a 44% year-on-year growth rate. Analysts say the UK continues to be at the forefront of this trend, contributing $217 billion to the region’s total and ranking 12th in the global crypto adoption index.

Overall, Bitcoin (BTC) was the top-performing asset type in the region, posting nearly 75% growth in transactions under $1 million.

“Across all transaction sizes, BTC accounted for $212.3 billion (roughly one-fifth) of the total value CNWE received from the chain.”

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Bitcoin is much less popular than stablecoins for small transactions

However, Bitcoin’s performance in smaller transactions has lagged behind North America, with stablecoins accounting for almost half of the CNWE’s total flows ($422.3 billion). Stablecoin purchases using fiat currency in the region have significantly outpaced Bitcoin; The euro accounted for 24% of stablecoin purchases, compared to only 6% for BTC.

In the UK, recording a growth rate of 58.4%, stablecoins dominate the merchant services market and consistently hold a market share of 60-80%. The report noted that demand for stablecoins continues to grow, especially as businesses in inflation-affected economies such as Argentina seek financial stability through crypto amid challenges posed by traditional currencies.