In 2023, the world of crypto-currency has seen a remarkable evolution. According to a recent study by Crypto.com, the number of crypto-currency owners has soared, recording a 34% increase to an impressive 580 million users worldwide. This article explores the key factors behind this meteoric growth and examines the implications for the future of digital currencies.
A significant leap in crypto ownership
The year 2023 began with around 432 million crypto-currency owners. By December, that number had climbed to 580 million, marking significant growth in the space of just twelve months. This rapid expansion is attributable to several key factors, including the development of Bitcoin exchange-traded funds (ETFs) and the introduction of the Bitcoin Ordinals protocol.
Bitcoin, in particular, saw a 33% increase in holders, from 222 million at the start of the year to 296 million in December. Bitcoin holders now account for 51% of all crypto-currency owners. The role of institutional investors and the growing adoption of Bitcoin ETFs have played a crucial role in this upward trend.
Ethereum and its remarkable rise
Ether, the currency of the Ethereum blockchain, was not left behind. The number of its holders rose by 39% to 124 million, representing 21% of the global crypto-currency owner base.
ETH growth was mainly driven by liquid staking following Ethereum’s Shanghai upgrade, allowing the withdrawal of ETH put into play. In addition, the 33.7% increase in the number of new unique addresses on Ethereum throughout the year testifies to the growing interest in this blockchain.
Towards a diversified digital future
The sustained growth in the number of crypto-currency owners underlines the increasing penetration of these digital assets into everyday life. With an expanding user base and increased institutional adoption, the future of crypto-currencies looks bright.
This trend marks a significant shift in the global financial landscape, with digital currencies playing an increasingly central role. The increase in the number of crypto-currency owners is not only an indicator of the growing popularity of these assets, but also a harbinger of profound changes to come in the way we perceive and use money.
