Worldwide Crypto Users in 2023 Top 580M: Report

A recently released research report from Crypto.com has sent shockwaves through the financial world, estimating that the number of cryptocurrency users globally will surpass a remarkable milestone of half a billion in 2023.

This revelation underscores the rapid and widespread adoption of digital assets, signaling a paradigm shift in how individuals engage with and perceive traditional financial systems.

Crypto Users Worldwide Increased to 580 Million 

Also, the reports shed light on the substantial growth in cryptocurrency adoption, attributing the surge to factors such as increased awareness, technological advancements, and a growing appetite for decentralized finance (DeFi) solutions.

The accessibility of cryptocurrencies and the evolving regulatory environments have paved the way for millions of new users to enter the crypto space. As per the reports, cryptocurrency owners worldwide increased from 432 million in January 2023 to 580 million in December 2023. 

Going deep into the research, Crypto.com estimates that Bitcoin (BTC) owners increased by 33%, from 222 million to 296 million by the end of 2023. Meanwhile, Ethereum (ETH) owners grew by 39%, from 89 million at the beginning of last year to 124 million at the end of 2023. Bitcoin and Ethereum account for 51% and 21% of global owners, respectively.

Recall that last year, crypto users in India summed up to 53% of the world’s total, which is five times the number of users in the United States. The high surge in crypto adopters is attributed to the country’s expanding, educated middle class with a less-developed traditional financial system.

What Brought About the Increase?

Notably, the surge in Bitcoin adoption is driven by the rise of Bitcoin exchange-traded funds (ETFs) and the introduction of the Bitcoin Ordinals protocol. This protocol enabled the creation of non-fungible tokens (NFTs) and fungible tokens on the Bitcoin network. Institutional adoption, driven by major companies and financial institutions, has legitimized the industry and instilled confidence in a broader audience.

As such, more individuals, from seasoned investors to everyday consumers, are exploring cryptocurrencies as viable financial instruments. Likewise, after the Shanghai Upgrade, the adoption of ETH accelerated due to liquid staking. This upgrade enabled the withdrawal of staked ETH after the transition to the Proof of Stake (PoS) blockchain.

Crypto to Boom Similar to the Internet in the 1990s

According to Bitget, Foresight Ventures, and Boston Consulting Group (BCG), there is a possibility of having over one billion crypto users soon. Similarly, Co-founder of Coinbase, Brian Armstrong, predicted in 2021 that there would be one billion crypto users worldwide within the next 20 years.

Interestingly, these predictions are coming to light with over a billion crypto users in 2023. It remains to be seen what 2024 brings to the table.