According to a recent report by Bitget Research, Western Europe is witnessing a significant increase in daily active crypto traders, with Germany and France leading the way. The survey also highlights the region’s strong engagement in decentralized finance (DeFi) and preference for centralized exchanges.
Bitget Research, the research arm of a prominent cryptocurrency exchange and Web3 company, has published a comprehensive report looking at the structure and current landscape of Western European cryptocurrency markets. The report sheds light on the growing adoption of cryptocurrencies in the region, with a significant number of daily active traders estimated at between 1.2 million and 1.5 million.
Germany and France have emerged as leaders in terms of crypto trading activity in Western Europe. However, Austria saw remarkable growth, registering a 70% increase in crypto traders between December 2022 and December 2023. The report attributes this surge to the country’s progressive approach to cryptocurrency investment.
The survey highlights the well-educated and conscious nature of Western European crypto traders. They use a trading strategy that combines contracts and spot trading while investing in underlying assets. In addition, traders in the region are actively involved in decentralized projects, non-fungible tokens (NFTs) and Web3 platforms. Popular chain ecosystems like Solana have attracted significant interest from Western European users.
Notably, the report reveals that DeFi usage accounts for a major portion of cryptocurrency activity in Western Europe, while peer-to-peer (P2P) trading volumes remain relatively low. This trend can be attributed to the prevailing practice of purchasing digital assets through fiat deposits or linked cards in the region.
Compared to other regions, Western Europe benefits from a clearer level of compliance in the cryptocurrency industry. Countries such as Germany, Switzerland, Belgium, France, Austria, Liechtenstein, Luxembourg and the Netherlands adhere to the legislative framework created by the European Union to regulate crypto assets.
The report also examines the trading preferences of Western European crypto traders. While centralized exchanges (CEX) remain the preferred choice for the majority of users, decentralized exchanges (DEX) such as PancakeSwap and Uniswap have gained popularity among those who choose a decentralized approach. Cryptocurrency wallets such as Coinbase Wallet, Metamask, Bitget Wallet and TrustWallet are widely used in the eight countries analyzed.
Looking ahead, Bitget Research predicts several key trends for the Western European market in 2024. Germany and France are expected to maintain their status as cryptocurrency hubs, while interest in on-chain solutions, especially NFT, DEX and blockchain games, is expected to continue to grow to grow. The report suggests that decentralized exchanges will cater to the growing demand for on-chain transactions, while emerging centralized exchanges can attract Western European users by offering superior customer service and platform features. Additionally, crypto wallets that offer integration across multiple blockchain ecosystems are likely to benefit from increased engagement with projects in the Solana ecosystem.
As Western Europe continues to play a significant role in the cryptocurrency industry, the region’s responsible and regulated approach, combined with a large number of daily active traders, underscores its importance in shaping the future of cryptocurrency.
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