Bitget Study on Crypto Growth in Western Europe

Introduction

The cryptocurrency landscape in Western Europe has shown significant growth, with increasing adoption rates and evolving market dynamics. Bitget's research provides a comprehensive overview of this progression, highlighting key trends, user behaviors, and future forecasts that paint a vivid picture of the region's crypto environment.

The Rise of Cryptocurrency in Western Europe

Western Europe has become a crucial market for the cryptocurrency industry, marked by a rapid increase in acceptance and trading activities. Daily trading participants range from 1.2 to 1.5 million, a testament to the vibrant activity in this market.

Key Markets and Growth

Germany and France stand out as leaders in cryptocurrency trading in Western Europe, with Austria showing notable growth—a 70% increase in traders year-over-year. This surge is attributed to Austria's progressive investment climate for cryptocurrencies.

Dominance of Centralized Exchanges and Trading Preferences

Despite the global buzz around decentralized platforms, centralized exchanges (CEX) remain dominant in Western Europe. The traffic to CEX platforms is significantly higher compared to decentralized exchanges (DEX), with platforms like PancakeSwap and Uniswap being popular among DEX users. Most users prefer using well-known wallets such as Coinbase, Metamask, Bitget Wallet, and TrustWallet.

Trading Instruments and Preferences

Different preferences in trading instruments have been observed, with countries like Germany, Switzerland, and the Netherlands favoring futures trading over spot trading, which is more popular in other regions.

DeFi and Cryptocurrency Activities

DeFi has captured most of the cryptocurrency activities in Western Europe, while peer-to-peer (P2P) trading volumes remain low. This can be attributed to the prevalent practice of purchasing digital assets via fiat deposits or linked cards.

Popular Assets and Trends

Emerging cryptocurrencies and platforms like Ordinals, NFTs, RWA, DePin, and the Solana ecosystem have gained significant traction. The Solana ecosystem, in particular, has seen substantial growth due to new token launches and airdrops.

Behavior of Crypto Traders in Western Europe

Bitget’s research highlights the high level of education among Western European crypto users, who prefer long-term investments and are keen on adhering to legal frameworks, including KYC and AML regulations. Participation in online and offline forums is also a popular activity, indicating a well-informed and engaged community.

Forecasts for the Crypto Market

Looking ahead, the study predicts several trends for 2024:

• Germany and France will continue to be the centers of cryptocurrency activities in Western Europe.
• The daily active users (DAUs) involved in cryptocurrency trading are expected to grow significantly.
• Engagement in on-chain interactions, such as NFTs, DEXes, and blockchain games, will continue to rise.
• Decentralized exchanges will see an increase in demand for on-chain transactions, while some emerging centralized exchanges will gain a larger market share due to better customer service and platform perks.
• The Solana ecosystem and wallets integrating multiple blockchain systems like Phantom and Bitget Wallet are projected to see major growth.

Conclusion

The cryptocurrency market in Western Europe is poised for continued expansion and innovation. With a well-educated and legally compliant user base, the region is set to remain at the forefront of the cryptocurrency revolution. Bitget’s research underscores the importance of regulatory compliance and active user participation in shaping a stable and thriving cryptocurrency ecosystem in Western Europe.