Source: C Labs Crypto Observation

This research report was also produced by FBI-invested Chainalysis:

1. Global trend: Large investors abandon Ethereum Fang

This trend is actually very interesting. For the main funds with a transfer amount of more than 10 million US dollars, it is normal for the stable coins to decrease, because these main players are increasing their positions in BTC and altcoins. . However, the main players did not increase their positions in ETH, but instead held fewer positions than last year!

Retail investors prefer to buy ETH and altcoins, and they sell their precious BTC to increase their positions.

This year can be said to be the year when Dex (decentralized exchange) shines. In most parts of the world, the growth of Dex is higher than that of Cex (center exchange).

Only in North America and Central and South Asia (CSAO, including India, Southeast Asia, and Australia), the growth of CEX can suppress DEX. This may be related to the compliance progress of CEX in 2024~

The global encryption market can be divided into three levels by geography:

The first level is North America, Western Europe, and Central and South Asia, each market roughly accounts for the global About 20%.

The second level is the four regions of East Asia, Eastern Europe, Latin America, and the Middle East (including North Africa), each market accounting for approximately 10% of the world.

The last and only one is sub-Saharan Africa, which accounts for less than 3% of the world and is an indisputable territory for military strategists.

But in fact, according to the data Lao Wang obtained from the exchange, a large part of global liquidity is still among the Chinese, but these Chinese either use VPNs or are located in various parts of the world, and cannot be counted geographically.

Then we scan the characteristics of each region in the world, looking at North America first:

2. North America: the global metronome

But in fact, Canada’s encryption is also very powerful, mainly because it looks very sad compared to North America and the United States.

If you take out the top 20 in the world, it will look like this:

Therefore, the most critical factor in global encryption is the United States, which is the only one with the highest level! Canada actually ranks 8th in the world, which is considered a good market.

And there is a very interesting phenomenon in the North American market: they don’t believe in compliance anymore

In 2024, the share of North American compliance in the North American market will instead Start to fall.

North America has also become the metronome of the world because of the presence of the United States:

When the United States rises, the world rises; when the United States falls, the world calls it daddy.

3. Latin America: Crypto saves inflation

Then let’s look at Latin America. This place is actually very interesting, because many people will pay attention to the progress of Argentina.

The growth rate of the Latin American market ranks second in the world. Considering that the first placeThe growth base of Africa south of Hara is too small, but the performance of South America is actually very impressive.

The Latin American market mainly relies on the two South American heroes: Argentina and Brazil

Let’s take a look at Argentina’s open encryption in the context of suffering from inflation. What is the situation with dollar controls?

Although a large number of Argentine people have exchanged their Argentine pesos for stable currencies:

But judging from the exchange rate of the Argentine peso, it has been stable in the past year. ：

It may be that it has been plagued by inflation for many years. , local people mainly exchange stablecoins to maintain value, rather than for investment:

We can compare it with wealthy North America:

< p>Especially in Bermuda, a tax-free paradise for rich people, the richer the people, the more they like Bitcoin.

Latin American countries, whose currencies have depreciated sharply, trust the U.S. dollar more.

4. Central and Western Europe: the younger brother of North America

Let’s turn our attention to Europe. The UK is the leader in this market:

Overall, the investment preferences here are still relatively similar to those in North America:

This trend is seen all over the world: rich places like Bitcoin, and poor places like altcoins. .

The mass adoption on this chain also mainly relies on the growth rate of user contributions from developers. Central and Western Europe are the developed regions that are the most active in embracing the chain, and the growth rate is barely the same. The global average is flat.

5. Eastern Europe: Growth under the Russian-Ukrainian War

Eastern Europe is also the focus of global attention, and everyone is paying close attention to the market development under the cloud of war.

Although Russia was quickly proposed by the United States, it still remains connected with the world through cryptocurrency.

Especially in Russia, many exchanges do not even require KYC, allowing local people to rest assured and avoid sanctions.

The main ones that do not require KYC are on-chain exchanges. Ukraine, as the country that suffered the most from the war, will decisively transfer a large number of assets to the chain in 2024. There are many Do you know how much aid is from the United States~

6. Central and South Asia and Oceania: the most dynamic crypto markets

This region is densely populated, but the leader may not be expected by many people. Not India, but Indonesia!

Indonesia, with a population of 600 million, actually surpasses India with a population of 1.4 billion in terms of the size of the crypto market!

Ranking third is Vietnam, with a population of just over 100 million.

Followed by Australia, Thailand, Consumables, and the Philippines.

Malaysia, which the Chinese team likes, is ranked behind Pakistan, which is really surprising.

Why is this area the most dynamic? BecauseEach development is unique.

For example, Singapore focuses on institutional services:

While Indonesia relies on mysterious power that does not know where it comes from, achieving more than 180% compared with the previous year. growth, surpassing India to win the regional championship:

Why is Indonesia said to come from a mysterious power?

Because most of their funds are online, rather than centralized exchanges that usually require real names.

The reason why India lost the regional championship is because in December 2023, India blocked 9 exchanges in the name of local compliance:

< p>Restricted exchanges include: Binance, HTX (formerly Huobi), Kraken, Gate.io, KuCoin, Bitstamp, MEXC, Bittrex, and Bitfinex.

7. East Asia: Hong Kong is growing rapidly

After the hidden champion spread around the world, South Korea became the regional champion.

And Korean CX is really powerful. They are the only one among the world's major players whose XRP trading volume is larger than that of ETH, and can even surpass BTC in some months.

Hong Kong, on the other hand, relied on its new encryption policy to overwhelm Japan and Taiwan, rising from fifth place in 2022 to second place.

The annual growth rate is close to 100%

Although Hong Kong implements encryption and opening up, on the other hand, Hong Kong is open to the mainland The defense is more stringent:

The number of transaction-related visits from mainland China will decrease significantly in 2024 compared with the past.

And mainstream exchanges have indeed withdrawn from Hong Kong:

8. Middle East and North Africa: Cryptocurrency saves inflation again

Many people in this region think that this region belongs to the tycoons of the Middle East. In fact, this is not the case. The champion is Turkey, which is suffering from inflation, and it is far ahead:

That’s why inflation is is the best advertisement for cryptocurrency.

And just like South America, Turks particularly like stablecoins:

Turkish people have even replaced the lira, which accounts for 4% of the country’s GDP, with US dollar stable currency:

But what is interesting is that the exchange rate of the Turkish lira has remained stable in 2024:

So I have to admire the regulation of the free market is really amazing.

In addition, the tycoons in the Middle East are not without strength, but they are slow to react and only started to enter the market in 24 years:

The market performance of Saudi Arabia and Qatar this year The growth rate exceeds 100%.

9. Sub-Saharan Africa: the fastest growing in the world

The champion in this region is Nigeria, followed by South Africa, and other market sizes You can ignore it for now.