Central, Northern, and Western Europe (CNWE) has emerged as the world's second-largest cryptocurrency economy after North America. Between July 2023 and June 2024, CNWE recorded $987.25 billion in on-chain value, accounting for 21.7% of global transaction volume.
Key Growth Trends in CNWE's Crypto Economy
- 44% average annual growth rate across most CNWE countries
- The United Kingdom remains CNWE's largest crypto market, receiving $217 billion in cryptocurrency
- Ranks 12th globally in crypto adoption according to Chainalysis' index
Bitcoin Dominates Retail and Professional Transactions
For transfers below $1 million (including retail <$10K and professional $10K-$1M tiers):
- Bitcoin (BTC) activity grew 75% — the highest among all asset types
- BTC accounted for $212.3 billion (20%) of CNWE's total on-chain value received
Stablecoins Outperform North America
CNWE's stablecoin adoption shows unique regional patterns:
- 2.5x faster growth in sub-$1M stablecoin volumes vs. North America
- Stablecoins represent $422.3 billion (nearly 50%) of total crypto inflows
- Monthly stablecoin transfers averaged $10-$15 billion over the past year
"Our fiat business exists to serve our stablecoin platform. We see them as coexisting — we need to bridge the gap with the fiat world."
— Chris Harmse, Co-founder & CCO at BVNK
Commercial Services Flourishing in the UK
The UK drives CNWE's second-largest commercial services market globally, with 58.4% year-over-year growth.
Key Stablecoin Use Cases in B2B Services:
- Settlement: Faster invoice processing for merchants
- Payments: Crypto gateways for consumer transactions
- Payouts: Cross-border payroll solutions
BVNK's platform data reveals:
- Average B2B transaction: $100K-$250K
- Consumer payments range: $100-$1,000
Emerging applications include:
- Gig economy micropayments
- Crisis aid disbursement by NGOs
Regional Spotlight: Malta's Crypto Payments
Payhound, a Maltese crypto processor serving the iGaming industry:
- Specializes in large-value settlements
- Processes innovative payment methods for web businesses
DeFi Growth Ranks 4th Globally
CNWE's decentralized finance activity reached $270.5 billion in inflows:
- DEXs drive primary growth
- NFTs and bridges showed temporary Q1 surges
- Lending peaked Q4 2023 before gradual decline
The Future of Crypto in CNWE
MiCA Regulation Impact
The EU's Markets in Crypto-Assets (MiCA) framework:
- Stablecoin rules active since June 2024
- CASP regulations taking effect December 2024
Industry perspectives:
"Regulatory clarity enables traditional institutions to confidently engage with digital assets."
— Sophie Bowler, Group CCO at Zodia Custody
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FAQ
Q: Why are stablecoins so popular in CNWE?
A: They optimize euro-denominated crypto-fiat transactions while providing stability amid currency fluctuations.
Q: How does UK crypto regulation differ from MiCA?
A: The UK is developing parallel frameworks expected to align closely with MiCA by 2025.
Q: What's driving DeFi growth in CNWE?
A: Decentralized exchanges account for over 60% of activity, with brief NFT and bridge surges.
Q: Which industries lead crypto adoption?
A: Fintech, iGaming, and cross-border payment providers show strongest traction.
Q: How large are typical B2B crypto transactions?
A: Commercial payments average $100K+, primarily for international trade settlements.
Q: Will MiCA affect non-EU businesses?
A: Yes — any firm serving EU customers must comply, creating global ripple effects.