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Western Europe has emerged as a leading region in global crypto adoption, attracting a substantial number of daily traders, ranging from 1.2 million to 1.5 million individuals.
According to a new research from Bitget, Germany and France are at the forefront of activity in the region, while Austria has experienced the most significant yearly growth, witnessing a remarkable 70% surge in users.
Germany closely followed with a 69% increase, while other Western European countries demonstrated slower growth rates ranging between 15% and 20%.
When compared to other regions, Western Europe benefits from a clearer level of compliance, the report said.
Countries such as Germany, Switzerland, Belgium, France, Austria, Liechtenstein, Luxembourg, and the Netherlands adhere to the legislative framework established by the European Union for regulating crypto assets.
Spot Trading Dominates Trading in Western Europe
Centralized exchanges and spot trading dominate the cryptocurrency trading landscape in Western Europe.
Users in Germany, Switzerland, and the Netherlands exhibit a preference for trading futures, while other countries lean towards spot trading.
You can buy $BTC in Switzerland just on the #SBB ATM! If you want to buy a ticket you can also buy $BTC!
Next step into the future of #Crypto! pic.twitter.com/fNBs1IY8qs
— Nicola Lombardi (@Cryptodon74) March 28, 2024
Centralized exchanges attract the majority of daily traders, with centralized exchange (CEX) traffic surpassing decentralized exchange (DEX) traffic by a factor of 10.
Among those opting for decentralized platforms, PancakeSwap and Uniswap emerge as the most popular exchanges.
Coinbase Wallet, Metamask, Bitget Wallet, and TrustWallet are the preferred cryptocurrency wallets across the eight countries.
Over the past year, centralized exchange traffic from Western European users has experienced significant growth, particularly in Germany, Switzerland, and Poland.
Germany and Switzerland saw a year-over-year increase of over 50%, while Poland witnessed a growth rate of 145%.
However, France and Belgium exhibited slower growth rates, with Belgium even experiencing a 6.8% decline compared to the same period last year.
DeFi Accounts for Majority of Crypto Activity in Western Europe
Decentralized finance (DeFi) usage constitutes the majority of cryptocurrency activity in Western Europe, while peer-to-peer (P2P) trading volumes remain relatively low.
The prevalence of purchasing digital assets using fiat deposits or linked cards contributes to the limited adoption of crypto P2P trading in the region.
In contrast, regions like Southeast Asia rely more on P2P transfers as the primary instrument for cryptocurrency trading.
Regarding asset choices and trending topics, Western European traders actively participate in decentralized projects, show familiarity with DEX tools and trading, engage with NFTs and Web3 platforms, and demonstrate interest in popular chain ecosystems like Solana.
Emerging cryptocurrencies such as Ordinals, NFTs, RWAs, DePin, Solana ecosystem tokens, and meme coins have gained significant attention among traders in Western Europe throughout the year.
“The Bitget research suggests that cryptocurrency participants in the region typically possess a high level of education, exercise caution, and prioritize long-term investments,” the report wrote.
“Additionally, a significant portion of local users actively engage in both online and offline forums, including community Ask Me Anything (AMAs), where they exchange market insights and discuss industry trends.”
Another recent survey has revealed that nearly 50% of European cryptocurrency holders owned Bitcoin in February.
