The post Crypto Ownership Soars, 580 Million Global Users Embrace Digital Assets in 2023: Report appeared bitcoin first on Coinpedia Fintech News
Global cryptocurrency owners increased by 34% in 2023, rising from 432 million in January to 580 million in December, says the Crypto Sizing Report released by the crypto exchange Crypto.com.
Experts say that the main catalyst behind BTC’s adoption growth was the development of Bitcoin exchange-traded funds (ETFs) and the introduction of the Bitcoin Ordinals protocol, which enabled non-fungible tokens (NFTs) and fungible tokens to be minted on the Bitcoin network along with strong interest from institutional investors.
ETH’s adoption growth was mainly driven by liquid staking after Ethereum’s Shanghai Upgrade, which allowed staked ETH to withdraw after the transition to the Proof of Stake (PoS) blockchain.
Trends of the crypto Adoption in 2023
Overall, global cryptocurrency owners grew 34%, from 432 million to 580 million, during the year.
More specifically, Bitcoin owners grew by 33%, from 222 million in January to 296 million in December. While Ethereum owners rose by 39% from 89 million to 124 million during the same period. April and May saw exceptionally strong monthly growth rates of 5.1% and 6.7%, respectively.
Bitcoin’s exceptional growth in April and May was likely attributed to the momentum of Bitcoin Ordinals, which provides a method for minting NFTs on the Bitcoin network—besides the emergence of BRC-20 tokens, high interest from institutional investors also contributed to BTC’s notable growth in Q4, pushed by the development of BTC ETFs.
Whereas, Ethereum liquid staking was still trending in 2023, especially after Ethereum’s Shanghai Upgrade, as the ETH adoption growth was almost in tandem with the change of staked ETH.
Both BTC and ETH adoption saw a prominent rise in the last of 2023, as excitement grew over developments in the Bitcoin and Ether ETFs space. During the period, BTC’s and ETH’s prices experienced a significant surge, briefly reaching US$44,000 and US$2,400 levels, respectively.
Wrapping up, this remarkable surge in crypto ownership, reaching an impressive 580 million users by the end of 2023, reflects a transformative shift in the financial landscape. The crypto revolution continues to break barriers and captivate individuals from diverse backgrounds, supporting a more inclusive and decentralized approach to finance.
As digital assets are gaining wider acceptance, it also increases the growing influence and adaptability of the cryptocurrency ecosystem. As we move forward, the cryptocurrency industry is assured of further growth, innovation and undoubtedly a forever impact on the global financial system.