Venezuela is no longer the third country with the highest adoption of bitcoin and other cryptocurrencies. This is established by the research firm Chainalysis, which now places the South American country in seventh place among more than 150 countries studied.
The change in the country’s position in the index is reflected in an extract from the firm’s geographic cryptocurrency report, the full version of which will be published in September.
The index measures three aspects of the use of cryptocurrencies to define adoption in each country: the value of transactions received in general, the value of transactions in retail, and the volume of exchange in exchanges P2P.
Venezuela ranks seventh globally in adoption, but it is sixth in terms of P2P trade volumes, two places behind its second place in 2020. Although Chainalysis does not expose the exchanges taken into account, it is possible that the drop is due to the decrease of the trade in LocalBitcoins. Meanwhile, testimonies from Venezuelans point to a clear growth in Binance’s P2P, as reported by CriptoNoticias. However, the volumes on this platform are not public, which could influence the Chainalysis measurement.
Compared to last year, the firm indicates that it has made a change in its methodology. Previously, they used a fourth metric: total cryptocurrency deposits weighted according to the number of inhabitants in each country.
Perhaps that is the reason why there are notable differences between the results: in addition to the fall of Venezuela, we find that Vietnam went from tenth to first place. India, now second in the table, did not appear in the top 10 last year. Meanwhile, Russia went from number 2 to number 18 in a matter of a year, perhaps because of increasing restrictions on bitcoin and cryptocurrencies in the country.
Argentina enters the top 10; Colombia leaves
For the Latin American region, two other countries stand out: Argentina and Colombia. The former is now part of the top 10 in cryptocurrency adoption, while Colombia is ranked 11th (previously it was 9th on the list).
In the Argentine case, their best scores correspond to the transferred value metrics, while in Colombia, the P2P trade is the protagonist, metric in which it ranks 12th worldwide.
Finally, Brazil is the fourteenth country with the highest global adoption, according to Chainalysis. The Amazonian Giant it ranks in the top 10 in both overall value and retail value. However, its position drops thanks to the 113th position it occupies in P2P volumes.