Between July 2021 and June 2022, it has been reported that the United Kingdom received a whopping $233 billion in raw transaction value from cryptocurrency. The report came out in late October 2022 and is said to be the highest crypto transaction value of any European nation. This has placed the UK in the top spot as the largest crypto economy in Europe!
Interestingly, the UK has also leapt up the crypto adoption index. This time last year the UK was in 21st place. According to the Chainalysis report recently released we can see that the UK has jumped up to 17th place in the crypto adoption index across the globe. This highly anticipated annual document has also ranked the UK as having the sixth-largest crypto transaction value in the world.
The report from Chainalysis also revealed that much of this activity was actually DeFi (decentralised finance), In fact, nearly 20% of the web traffic to NFT (Non-Fungible Tokens) and lending contract-related websites in Europe, came from the UK.
We can also see from the research that the only top-five Western European country that grew from July 2021 to July 2022 was the UK, in terms of the raw number of on-chain transactions in each quarter. This research suggests that crypto adoption rates were more resilient within the UK, than anywhere else in Europe.
It is thought that this is because the UK has tried to provide certainty for investors surrounding crypto regulation and taxation. While nobody wants to be taxed, if there is certainty around taxing crypto investments, people feel reassured that there is a level of understanding.
Another potential reason for the crypto success in the UK is the focus on consumer protection. While this is still a factor that needs to be worked on, it is something that is being looked into and improved.
This is all great news for users and investors of cryptocurrencies in the UK. Every time that good news about cryptocurrencies is shared in the media, more people invest, and the crypto assets crypto users own increase in value.
Want to know more about crypto investments or how to go about investing in cryptocurrencies in the UK?
Message our team of crypto specialists now. With a team in the UK we are available to talk when you are and can answer any questions that you might have.