The Evolution of Cryptocurrency Adoption in Asia and the USA

Over the years, cryptocurrencies have positioned themselves as a common tool in the lives of millions of people around the world. In this sense, they are regularly used as a means to make purchases, send money abroad, or make investments, among other uses.

Information provided by Statista has shown that the crypto market is in a growth phase, indicating that the revenue in the cryptocurrency market is projected to reach USD 51.53 billion in 2024. Revenue is expected to show an annual growth rate (CAGR 2024-2028) of 8.62%, resulting in a projected total amount of USD 71.72 billion by 2028.

It is important to highlight that the level of adoption of cryptocurrencies might change in different regions due to different market conditions and economic situations. According to data provided by Triple A, in 2023, 4.2% of the global population owned cryptocurrencies, representing a total of 420 million cryptocurrencies held.

If, for example, we analyze how the adoption and use of cryptocurrencies are evolving in South Korea and the USA, being two opposite regions, we can see:
In South Korea, cryptocurrency adoption grew from 6% in 2019 to 16% in 2024, while in the USA, it grew from 5% in 2019 to 16% this year.

By analyzing the information from these two countries, which are illustrative of the situation of cryptocurrency holdings growth in Asia and America, we can see how the adoption of cryptocurrencies is growing in both regions.

Pavel Zavadskii, founder at Biqutex said “in 2024, cryptocurrencies are being used as a full-fledged alternative to traditional centralized financial institutions. First and foremost, these include long-term investments as a hedge against inflation; trading in crypto derivatives such as futures and options; yield farming opportunities as liquidity providers for various decentralized exchanges and lending protocols; and of course, native staking and liquid restaking, which has recently gained popularity.”

How is the Adoption of Cryptocurrencies Evolving in Asia and the USA?

Asia and the United States have been considered by many as two opposite regions, from a geographical, cultural, and economic standpoint.
In this sense, it will be fundamental to understand that the adoption of cryptocurrencies in each region will have a different level of growth with disparate use cases.
Asia

In Asia, Vietnam, India, and Pakistan are leading the adoption of cryptocurrencies. According to information provided by Statista, some of the most common use cases in the region have been trading and using cryptocurrencies for savings.

The global cryptocurrency adoption report by Chainalysis indicates that Thailand, China, and Japan, among other countries in the region, are in the top 10 countries with the highest adoption of cryptocurrencies internationally.

Lastly, Triple A reported that India currently holds 93 million cryptocurrencies, Vietnam with 20 million, and Pakistan 15 million, within the total of 420 million cryptocurrencies internationally by population.

Claudio Cossio, Co-Founder Meta Pool said “Crypto is a technology that will allow anyone to create an auto compounding digital savings account when they participate in liquid staking platforms, it is a low risk activity that will become a digital commodity in years to come.”
The United States

The United States is one of the countries globally with the largest number of cryptocurrency trading volumes in the world.

According to data provided by Security.Org, 40% of the adult population in the country holds cryptocurrencies, reaching a population close to 93 million people. It is important to note that after the fall in crypto adoption as a result of the crypto winter, the country has managed to recover, showing positive trends again in the levels of crypto adoption in the country.

The Security.Org report also indicated important data such as:

The rate of crypto ownership by women has surged from 18% a year ago to 29% at the start of 2024.

21% of non-owners said the anticipated Bitcoin ETF makes them more likely to invest in cryptocurrency. This means as many as 29 million more Americans could join the market soon.
46% of Americans think Bitcoin ETF approvals in 2024 will positively impact the blockchain industry. Those who currently own cryptocurrencies are even more likely to be optimistic.
Finally, the holding of cryptocurrencies in the country’s population has increased by more than 300% over the last five years.

– Juan Allan /Dino