The Current State of the Crypto Market Reviewed

On this page, we’ll look at some interesting facts about the current state of the crypto industry, so you can better appraise yourself of its status.
October 13, 2023
#technology

Cryptocurrency now represents a giant slice of the world’s economy. No longer working in the shadows, it’s become mainstream, used for legitimate reasons by millions around the world. On this page, we’ll look at some interesting facts about the current state of the crypto industry, so you can better appraise yourself of its status.

Crypto Users Rising Dramatically

The number one fact to know about crypto is this: users are still on the rise. Despite warnings from some of crypto coming to an end, it’s estimated that there are 420 million crypto users worldwide in 2023. In 2022, the number of crypto users increased by 39%, fuelled by the increased realisation that cryptocurrency really is a legitimate investment.

It is now thought that 8.8% of all people will use crypto by the end of 2023, and that this figure will rise to 12.5% by 2027. If this is correct, it means that there will be just under one billion crypto users in four years. That should prove that crypto is still thriving.

No Longer Fuelled by the Dark Web

It used to be that crypto was fuelled by the dark web, used by many for more nefarious purchases. But that’s no longer the case, as less than 5% of all crypto transactions in developed European countries now take place on the dark web. Freelancers are particularly liable to be paid using cryptocurrency, and gaming has also become a place where crypto is used freely. Many major companies now also accept crypto payments, including Microsoft and Starbucks.

Crypto is only being made safer by the rollout of regulations such as KYC and KYB, which are ensuring merchants really understand who their clients are and where their money is coming from.

Bitcoin is Still King

Bitcoin has long been the poster boy for crypto, and it’s still the most popular cryptocurrency in the world. It has a market cap of approximately $457.16 billion, which is over double the second placed crypto, Ethereum. Interestingly, stablecoins, which are tied to another asset to keep prices stable, are now becoming increasingly popular, and Tether now has the third largest market cap, coming in at $70.97 billion.

In terms of the number of people with Bitcoin, there are approximately 219 million Bitcoin owners in the world, out of 420 million crypto owners in total. But amazingly, the top 1% of Bitcoin owners hold over 90% of the total Bitcoin out there.

But Regulation is Coming…

It’s almost certain that regulation of cryptocurrency is only a matter of time. Singapore and the UAE have both moved to regulate crypto recently. Even more significantly, the Markets in Crypto Assets regulation will soon come into force, which will move to implement a regulatory stance among all 27 members of the European Union. The US has also mooted regulation recently, with President Biden issuing an executive order on the subject.

But don’t think that regulation is necessarily a bad thing. While crypto grew on the back of its unregulated status, regulation should help to introduce some certainty to the market and protect investors.

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