U.S. traders dominate global crypto exchange online traffic, data reveals

1 month ago
3 mins read

Cryptocurrency exchanges continue to gain prominence as they act as one of the primary ways for investors to get involved in the digital assets market. However, the investors’ use of different crypto exchanges varies significantly by jurisdiction. 

In particular, United States traders account for the highest share of global visitors to crypto exchange websites over the last 90 days at over 14%, data by SimilarWeb shared by Arcane research on August 24 indicates. 

Arcane research stated: “U.S. traders are by far the most active participants in the crypto market, representing 14.33% of all crypto exchange visits.”

South Korean traders come a distant second at 6.51%, followed by Russia at 4.87%, while Turkey ranks fourth at 3.46%. Japan caps the fifth spot, with traders accounting for 2.62% of all crypto exchange website visits. Furthermore, the study notes for 52.4% of all crypto exchage website visits within 90 days originated from only 20 countries accounted.

Number of crypto exchange visits chart. Source: SimilarWeb

It is worth mentioning that due to different regulations per jurisdiction, some traders tend to use virtual private network (VPNs) to visit crypto exchanges, a factor that is likely distorting the actual visits data. This capability enables users to access exchanges not authorized in their home countries. 

Strategic crypto regions leading in exchange visits 

Within the crypto circles, the top countries with the most visitors to exchanges also lie in strategic regions like North America. The regions account for a bulk of crypto and transactions and are known to dictate the sector’s management in relation to aspects like regulations

Interestingly, the U.S. ranks top despite hosting few regulated crypto exchanges, mainly due to the strict regulatory framework that spans from the state to the federal level. However, the country is considered to have an advanced cryptocurrency sector mainly due to regulations and the economy’s size. 

Prevailing bear market 

Additionally, some of the top countries are ranked among the poorest economies, and locals tend to embrace digital assets as means of earning through trading due to high poverty levels. At the same time, soaring inflation has positioned cryptocurrencies like Bitcoin (BTC) to act as a hedge against inflation.

Notably, the select countries are accounting for the biggest share of exchange visits despite the prevailing bearish market conditions. Traders have been forced to stay back and await conditions to improve. Indeed, with exchanges acting among the primary avenues of getting involved in crypto, they attract more users during bullish cycles.

Overall, the aspect of the regulation will likely impact the rate at which traders visit different exchanges. Notably, most jurisdictions are in the process of rolling out laws that dictate licensing of exchanges in specific countries. 

However, with tools like VPNs, traders will potentially keep circumventing bans intended to stop access to overseas exchanges.

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Justinas Baltrusaitis

Justin crafts insightful data-driven stories on finance, banking, and digital assets. His reports were cited by many influential outlets globally like Forbes, Financial Times, CNBC, Bloomberg, Business Insider, Nasdaq.com, Investing.com, Reuters, among others.