Forecast of 10 countries with the highest number of cryptocurrency users in 2023

What is cryptocurrency?

The world of cryptocurrencies is growing rapidly. More and more people are interested in cryptocurrencies and the number of global cryptocurrency owners is growing. The world of cryptocurrencies has exploded in recent years, with millions of people around the world investing in and using various forms of digital currency.

Electronic money or “cryptocurrency” is made up of digital bits or also known as digitized money. Electronic money only operates in an electronic environment to pay for expenses. To make transactions, users must rely on 3 factors: the Internet, computer networks and electronic means of the issuing organization (third party).

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Cryptocurrencies do not exist as a physical thing but exist invisibly through the electronic environment. They are stored on: the Internet, phones, information and other electronic payment cards. This means that users cannot hold their money.

In addition, cryptocurrency can be understood as a payment method through a secure signature. Like paper money, cryptocurrency is a tool used for transactions and value accumulation. Cryptocurrency can be converted into paper money at the request of the owner.

According to the definition of the European Central Bank (ECB), electronic money is monetary value stored on an electronic device that is commonly used to make payment transactions to organizations other than the issuing organization.

Meanwhile, the Bank for International Settlements (BIS) defines electronic money as a stored value or prepaid product, in which information about the customer's available funds or value is stored on an electronic device owned by the customer.

How does cryptocurrency work?

Most cryptocurrencies operate on the basis of blockchain technology. This way of working will bring safe and convenient transactions. Each coin is understood as a file stored in a digital “wallet”. Users can access their “wallet” using smartphones or Internet-enabled devices. The stored files are operated from one person to another thanks to blockchain technology.

Cryptocurrencies are not created by governments or financial institutions like dollars or are available like gold. They are developed based on mathematics. Cryptocurrencies use a distributed network that allows for a peer-to-peer (P2P) transaction system. This means that transactions are executed peer-to-peer without the need for a third party. Mathematical equations are used to link accounts to the real money that the owner spends.

When participating in cryptocurrency transactions, users only need to log in with an email and an anonymous name. The electronic trading floor does not require users to provide their real names or register with a bank.

Countries with the highest number of cryptocurrency users in the world in 2023

Cryptocurrency adoption is on the rise in many countries around the world, as more and more countries realize the potential of cryptocurrencies as a viable asset. According to research, blockchain-based platforms will host nearly 10% of global GDP by 2025. This shows the growing popularity of using digital assets.

Here are the top 10 countries predicted to have the highest number of cryptocurrency users in 2023.

1. Japan

Japan was one of the first countries to fully embrace cryptocurrencies with the highest number of cryptocurrency users and the country continues to be a top candidate for cryptocurrency adoption in 2023. The Japanese government has approved many cryptocurrency exchanges after recognizing Bitcoin as a legal currency in 2017. As a result, Japan is one of the most crypto-friendly countries in the world and a global leader in cryptocurrency adoption.

2. America

Although the United States lags behind other countries in terms of cryptocurrency adoption, it is still considered a major player in the space. Cryptocurrency exchanges are growing across the country, and many states are considering making cryptocurrencies legal tender.

With the Biden administration’s interest in cryptocurrencies, it is expected that the US will soon become a leader in cryptocurrency adoption, helping to boost the country’s GDP growth in 2023.

3. South Korea

South Korea is a country with many policies to promote the development of cryptocurrencies and is considered a typical example of the success of cryptocurrencies. This country has strict regulations on cryptocurrency exchanges and it has become one of the largest Bitcoin cryptocurrency trading markets in the world.

South Korea is currently one of the most crypto-friendly countries and is expected to continue to lead the way in crypto adoption in 2023.

4. India

When it comes to cryptocurrency adoption, India is one of the most forward-thinking countries. The country is home to some of the world’s largest cryptocurrency exchanges and is a major player in the global cryptocurrency market. They have embraced cryptocurrency trading, exchanges, and even trading.

The Indian government is also taking a keen interest in blockchain technology and has launched several initiatives to help the technology grow. With a population of over 1.3 billion, India is expected to become a major player in the global cryptocurrency adoption race by 2023.

5. Singapore

Singapore has long been considered one of the most technologically advanced countries in Asia, and its use of cryptocurrencies is no exception. Singapore was also one of the first countries to recognize the cryptocurrency Bitcoin as a legal tender, meaning that it is a currency that is legally recognized as a means of payment that can be accepted as collateral for debts or other financial obligations.

As a result, Singapore has become a hub for cryptocurrency investment and innovation. The Singapore government has embraced cryptocurrencies, introducing regulations to protect investors and encourage innovation in the cryptocurrency.

6. Russia

Russia may lag behind other countries in terms of cryptocurrency adoption, but the country has a lot of potential to grow it. Russia has a long history of embracing technology and is now taking steps to legalize cryptocurrencies. Russia is also making many positive moves to promote the development of cryptocurrencies and blockchain technology.

7. Canada

Canada has a cautious approach to cryptocurrencies, but it is still one of the most crypto-friendly countries in the world. The government has established regulations for cryptocurrency exchanges and allows individuals to use digital assets for everyday purchases.

8. Germany

Germany is another European country that has embraced cryptocurrencies and is considered a major player in the cryptocurrency space. The German government has established regulations that allow cryptocurrency exchanges. The country also allows its citizens to use digital assets for everyday purchases, making Germany one of the most crypto-friendly countries in the world.

9. Switzerland

Switzerland is also one of the most crypto-friendly countries in the world and continues to set the standard for financial innovation. The country has been at the forefront of cryptocurrency adoption, with some of the world’s most advanced exchanges. The majority of the country’s innovative blockchain projects are based in Switzerland’s “Crypto Valley,” which is considered the global hub for crypto innovation.

10. United Kingdom

The UK has taken a more cautious approach to cryptocurrencies than other countries in the world, but it is still considered a major player in the cryptocurrency space. The UK has a specific roadmap for regulating cryptocurrency transactions, while domestic financial institutions are also eagerly waiting for the government to make appropriate decisions regarding the use of digital assets.

Furthermore, the UK is home to many major blockchain technology startups and is one of the leading countries when it comes to developing innovative blockchain solutions.