September 1, 2020
Cryptocurrencies have gained momentum over the past few years and witnessing growth in its number & prices and most importantly, global adaptation. Cryptocurrency is just not the means of wealth preservation, but it is also used as an investment tool as well as an easier way of sending payments digitally.
More & more countries are becoming more open to the idea of digital currency and its benefits, creating better regulations for crypto-assets and their functioning as both an asset and utility.
The benefits of the crypto world are truly seen by the masses now and are willing to take the risk of adoption, thus, creating an environment of growth for virtual asset trading seeing its multiple real-life uses that can help the everyday lives of people around the world.
Major countries advocate blockchain/Cryptocurrency adoption due to several reasons like high inflation rates, an infamous corruption, and failing banking systems. These are driving citizens towards the cryptocurrency world gradually.
One of the major reasons is its help that it provides to cut down on tax evasion and frauds, which are very prevalent in the economic markets today. The use of Cryptocurrencies makes it easier for individuals to keep a safety on their identity, while they can still conduct all transactions. Another reason why major countries have started to adopt the use of Cryptocurrencies is that they are seen as more secure than fiat money. Since there is no physical asset, like gold or silver, that is protected, it is not as susceptible to corruption and frauds like traditional currencies. Also, unlike gold and silver, there are no worries about inflation as well. There is also no need for a central bank or any form of central authority to monitor the value of the digital coins. All of these things make the use of Cryptocurrencies more appealing to most countries.
Countries adopting digital currency have high hopes that the crypto assets will be very useful to them and that they will want to continue the use of it for the benefit of its masses. By being able to look at the transaction records transparently, the countries are able to gauge their success rates in the markets and plan further economic strategies. Let’s learn about the top 5 countries that lead the way in Cryptocurrency adoption:
It is the fifth-largest country in the world and one of the richest in Latin America and citizens in Brazil have a high interest in crypto, due to which it is becoming a huge hub for crypto gradually. Brazil accounts for some top highest of the world’s Cryptocurrency adoption.
Without mentioning Malta, discussion on crypto-friendly countries is incomplete. The three Cryptocurrency and blockchain bills passed by the Maltese parliament enhances investors’ vision by providing a clear description of the required legal framework to set up a legitimate Cryptocurrency business. The country also regularly conducts Malta Blockchain Summit which attracts many crypto businesses to set up their offices in the country.
Cryptocurrency is very popular across this country, even some public means of transportation allows payment in Cryptocurrency. Argentina permits mining Bitcoin and other cryptocurrencies. Although Bitcoin in Argentina is not considered legal currency, as it is not issued by the Central Bank, there are no restrictions toward it and is considered to be good under the Argentine Civil Code, and its transactions are governed by the rules of the Civil Code.
It is one of the first countries to have shown a positive attitude toward Bitcoin and with decent regulations, support for investments, ICOs, and developments. Recently two Zurich-based banks- Maerki Baumann Bank & Incore Bank were approved to offer a range of Cryptocurrency services, including trading and custody by Switzerland’s financial regulator, FINMA. A government-owned commercial bank in Switzerland, Basler Kantonal Bank, or BKB, plans to launch Cryptocurrency services in response to an increased demand for crypto services in the country.
Crypto adoption in Colombia is outstanding. The country is home to over a million Venezuelan refugees and this Factor contributes to massive crypto adoption as a huge amount of citizens are still unbanked. The Columbian citizens use crypto assets to run businesses as well as means of investment. Cryptocurrencies open up foreign investment in Colombian companies and there is a huge demand for Bitcoin in Colombia.
*The pioneering actions of some countries will pave the way for the other countries to embrace Cryptocurrency that will lead to crypto mass adoption.