In the first place, it is not surprising: there is, by a large margin, the United States. However, the rest of the ranking does not faithfully reflect the order of magnitude of the different economies. The example of Italy is stark, as it ranks only 14th in the ranking just behind Ukraine and far below the relatively small economies such as the Dutch..
Even more macroscopic is the caseIndia: Despite being the seventh economy in terms of GDP, the gains made with cryptocurrencies are only in the 20th place. Blame New Delhi’s harsh policy of repression against these activities. For the same reason, the China (with the exception of Taiwan) it has lost a lot of ground compared to 2020, in the ranking of the largest beneficiaries of cryptocurrency trading – it ranks fifth, despite the fact that it is the second largest economy in the world in terms of GDP.
Public data on profits from cryptocurrency trading points to a strong increase in 2021: Of all the cryptocurrencies that Chainalysis tracks, Investors around the world generated total profits of $162.7 billion in 2021, up from just $32.5 billion in 2020.. Nearly 47 billion were made in the US alone, followed by the UK, Germany and Japan.
Investors made more money with Ethereum
Another interesting element is the leading role played by Ethereum: the crucial blockchain currency for decentralized finance It made more money than Bitcoin last year, compared to $76.3 billion from $74.7 billion.
“We believe this reflects an increase in demand for Ethereum as a result of the DeFi surge in 2021, as most DeFi protocols are built on the Ethereum blockchain and use Ethereum as their base currency,” said Chainalysis. Spreading gains in ether is common in most countries, with some notable exceptions such as Japan “Which held a much higher stake in Bitcoin generated just under $4.0 billion in profits, compared to just $790 million in Ethereum, which made a profit.”
An “umbrella” to protect against excessively expansionary monetary policies
Finally, the report emphasized the importance of cryptocurrencies in some developing countries, which often feature fiat currencies that tend to fall easily. The latter phenomenon also involved a large economy, which is turkeyFor some time, it has been struggling with an unconventional monetary policy dictated directly by President Erdogan (prices go down to fight inflation) which has led to the depreciation of the lira. Turkey ranks 11th in terms of cryptocurrency earnings in 2021, reaching $4.6 billion. The sixteenth place of Vietnamalso among the first countries in the world in terms of the use of cryptography for transactions or the 33rd place of Venezuelaanother country whose official monetary authorities offer few guarantees of stability.