Cryptocurrencies are a relatively new invention. In the past few years, they have gained tremendous traction thanks to mainstream popularity. It has also revolutionized numerous industries, especially the banking sector. Many fintech companies are based on blockchain and cryptocurrencies. For instance, crypto is now used for payment and cross-border remittances, filling a gap left by traditional banking systems. As a result, investors have found crypto to offer great investment opportunities. It is therefore imperative that you understand cryptocurrencies’ scope. We have pared down some of the most surprising crypto statistics about cryptos that you should know.
1. Bitcoin Surpassed $1 Trillion in Market Value for the First Time
In February, bitcoin attained a new milestone after reaching a market capitalization of $1 trillion. The price of Bitcoin was trading slightly above $53500. This was the first time a cryptocurrency was reaching a market cap of above $1 trillion. However, bitcoin is currently trading at $47 170, with a market cap of $892 billion. Ethereum is the second-largest crypto and can achieve the same feat if, at least, it doubles its price.
2. The Value of Global Cryptocurrency Markets Increased by Almost 3000% Between 2020 to 2021
The total cryptocurrency market increased from $100 billion in early 2020 to $3 trillion in 2021. This represents a 3000% growth. However, the market value has dropped to $2.22 trillion. Future growth will be influenced by the growth of big cryptos, especially bitcoin and ethereum. Valuates Reports estimates that the global cryptocurrency market size will grow at a CAGR of 12.8% from 2021 to hit $4.94 billion by 2030.
3. Shiba Grew 26 Million Percent Within One Year
According to crypto-academy.org, Shiba was trading at $0.0000000003 in the third quarter of 2020. The price proliferated in 2021, reaching an all-time high of $0.00008 in October, a growth of over 26 million percent in slightly 13 months. This is the biggest cryptocurrency growth in 2021. To put it into perspective, an investment of $10 yielded $266 million. In 2021, the price increased from $0.00000001 in January to $0.00003 at the end of the year, representing over 330 000% in one year.
4. There Are 34000 Bitcoin ATMs
Bitcoin remains the biggest cryptocurrency, commanding almost half of the cryptocurrency market. Growth and increasing adoption have necessitated the improvement of the bitcoin supporting infrastructure. The number of bitcoins increased to 34000 from 14 000 at the beginning of the year.
Most of these machines is in the US, with slightly over 30000. Canada comes second with about 2200 Bitcoin ATMs. El Salvador, which made Bitcoin a legal tender in September, takes third place with 200 Bitcoin ATMs. The working of Bitcoin is quite different from conventional ATMs. It allows people to exchange bitcoin for fiat currency and also sell fiat currency for bitcoin.
5. There Are More Than 300 Million Cryptocurrency Users Worldwide
In 2020, the number of identity verified users crossed the 100 million mark. Binance reports the number grew to 300 million as of 2021, representing about 3.8% of the global population. This number is 5.8% of the population aged between 15 and 65 years and is poised to rise as crypto adoption grows.
6. The Value of Global Cryptocurrency Theft in 2020 Was $513 Million
In 2020, crypto theft from scams almost reached the all-time figure recorded during the 2017 bull run. $7.7 million was stolen in crypto scams globally, an 80% increase from 2020. According to Chainalysis, Rug Pull accounts for the bulk of the crypto theft at $2.8 billion. This represents 28% of the total crypto from 1% recorded in 2020. Rug pulls is where developers abandon a project and vanish into thin air with investors’ funds.
7. India Has the Most Crypto Owners at 100 Million
India tops the countries with the highest number of crypto users. According to Triple-A, India tops with 100,740,320 crypto users, followed by the USA at 27,491,810. Russia and Nigeria follow at 17 million and 13 million respectively. 12.73% of the Ukrainian population own crypto – the highest percentage in the world.
8. There Were More Than One Million Ethereum Transactions Every Day in 2021
Ethereum processes more than 1 million transactions daily. According to data from Y Charts, Ethereum processed between 1.057 million and 1.717 million daily transactions. This is more than six times the bitcoin transactions that averaged 250 000 in June.
9. There Are More Than 16000 Cryptocurrency
Developers are creating new cryptocurrencies every day. According to Coin Market Cap data, there are over 16000 cryptocurrencies listed across 451 crypto exchanges.
10. 18,000 Businesses Are Already Accepting Cryptocurrency Payments
Did you know you can pay for goods and services using bitcoin? You probably do. What you might not be aware of is that 18000 businesses spread across the world accept bitcoin payments. Deloitte reports that 2300 US businesses were accepting bitcoin payments by late 2020, excluding bitcoin ATMs. Big companies that accept crypto payments include AT&T, Microsoft, Overstock, Twitch, Pizzahut, and NewEgg. Amazon, Mastercard, Visa, and Tesla are also planning to join the group.
11. The US Control a 35.4% Hash Rate
The US IS THE TOP DESTINATION for bitcoin miners. It now controls 35% of the bitcoin hash rate as per Cambridge Centre for Alternative Finance. Hash rate refers to the computing power of miners. The US edged China after the Chinese government banned crypto mining. At its peak, China controlled 67% of the hash rate in September 2020.
12. The Top 10 Cryptocurrencies Make Up 88% Of the Total Market Value
Cryptocurrencies have varying market prices and capitalization. Bitcoin, which enjoys a first-mover advantage, was, at some point, more valuable than all other cryptocurrencies combined. However, it is losing market share to ethereum and other altcoins. The top ten cryptos have significantly taken up the dwindling market share of Bitcoin. The low-ranked cryptos have diminutive value, especially due to low demand and popularity. The surprising fact is that Bitcoin, ethereum, Binance coin, and other cryptos that rank top ten control about 88% of the total crypto market value.
13. Merchants Who Accept Crypto Payments Enjoyed an Average Return on Investment of 327%
One of the areas that cryptos are revolutionizing is online payments. People who hold cryptos find it convenient and cheap to pay using digital currencies. Businesses that accept cryptos, therefore, attract cryptocurrency users. This explains the whopping 327% ROI by merchants who accept cryptos.
On the flipside
The Crypto market has not been all rosy. While the statistics paint a tantalizing growth story, Some cryptos are experiencing a bear run. For instance, Bitcoin has dipped from a high of 65000 and is now trading at 47000. Shiba Inu has shed more than 70%.
Why You Should Care
According to these statistics, the crypto market has grown on all fronts and is set for further expansion. However, you should prudently choose which digital assets to invest in to rake profits. Otherwise, you risk suffering from losses if you invest in plummeting digital currency.
2021 has been the year when the crypto market exploded and hence the surprising statistics. We expect more growth in the crypto market in 2022 and perhaps more surprising statistics and fun facts.