Current Affairs PDF

India ranked 2nd in Global Crypto Adoption Index 2021, Vietnam tops

AffairsCloud YouTube Channel - Click Here

AffairsCloud APP Click Here

India ranks second in terms of crypto adoption in the world

According to the 2nd Edition of Global Crypto Adoption Index 2021 released by Chainalysis, a crypto-analysis firm, India with a score of 0.37 ranked 2nd out of 154 countries. Vietnam topped the index.

  • It aims to provide an objective measure of which countries have the highest level of Cryptocurrency adoption.
  • The index ranks countries based on 3 indicators such as On-chain value received, On-chain retail value received and Peer-to-Peer (P2P) exchange trade volume
  • India improved to 2nd rank from 11th in the 2020 Global Crypto Adoption Index.

Ranking Country Index Score
1. Vietnam 1
2. India 0.37
3. Pakistan 0.36

Note: It is the preview of the Global Crypto Adoption Index 2021, the full report will be released in September 2021

Key findings of the report:

i.The worldwide Cryptocurrency adoption grew more than 880% from June 2020 to July 2021 with P2P platforms driving cryptocurrency usage in emerging markets.

ii.Emerging Markets: Countries  like Vietnam, Venezuela, Kenya and Nigeria rank high due to huge transaction volumes on P2P platforms when adjusted for Purchasing Power Parity (PPP) per capita & internet usage population.

  • Residents in Emerging markets buy cryptocurrency to preserve their savings from currency devaluation, remittances, purchasing goods etc..
  • Central and Southern Asia, Latin America and Africa use P2P platforms more than Western Europe and Eastern Asia.

iii.China & US slips in rankings:

In the 2020 index, China ranked 4th and the United States (US) ranked 6th but they slipped to 13th and 8th position respectively.

  • The main reason is their rankings in P2P trade volume weighted for internet-usage population declined drastically.

Recent Related News

In June 2021, El Salvador became the first country in the world to grant legal tender status to bitcoin. The use of bitcoin as a legal tender will become law in 90 days. The use of bitcoin will be totally optional.

About Chainalysis

Chief Executive Officer – Michael Gronager
Headquarters – Newyork, United States of America