As far as Bitcoin is concerned, the performance of emerging markets seems to be beyond their own capacity (Bitcoin)’S investment, according to a new report by the cryptocurrency analysis company Chainalysis, provides further evidence of increasing global adoption.
Geographical analysis of realized Bitcoin gains disclose Chainalysis said that US investors created a return of $4.1 billion last year, more than three times that of second-ranked China. Although economic powerhouses such as Japan, the United Kingdom, and Germany are close to the top of the list, some countries are investing more in Bitcoin than traditional economic indicators such as gross domestic product.
In other words, GDP does not seem to be a strong indicator of who generates higher returns on Bitcoin investments.
A prominent example is Vietnam, which ranks 53rd in GDP but 13th in terms of realizing Bitcoin gains. Since 2002, this East Asian country has shifted from a centrally planned economy to embrace market reforms, reducing its poverty rate from above 70% to below 6%. according to To the World Bank.
Chainalysis also drew attention to the Czech Republic, Turkey, and Spain, which are ranked 54th, 25th and 19th in GDP, but they are all in the top 20 in terms of realized Bitcoin gains.
This 2020-2021 Bitcoin bull market Beginning in October last year, because by December 31, the price rose from around US$11,000 to more than US$29,000.The price of Bitcoin will Eventually reached a peak of close to $65,000 in April Before making major adjustments.
Chainalysis can infer country-specific data by analyzing location-based network traffic on various cryptocurrency exchanges. Cointelegraph asked the analytics company how it could explain the potential use of VPNs by exchange users. Although Chainalysis acknowledges its limitations, the company insists on a strict analysis of transaction data and points out:
“We acknowledge that there are obvious restrictions on the use of network traffic data, including the use of VPNs and other products that can obscure the geographic origin of network activity. However, the data that forms the trend we are exploring contains millions of transactions, so this activity needs to be very extensive. In order to have a meaningful impact on our data.”
The report echoes the long-standing view of many crypto enthusiasts-Bitcoin allows investors in emerging markets to obtain unrestricted access to a high-performance asset.This is facing High inflation with Tighter government control More than bank deposits and withdrawals.