Europe and Latin America are the gateway to the Bitcoin markets

The flow of money that is exchanged through the exchanges has indicated that on this type of platforms the main gateways to the Bitcoin markets with Europe and Latin America. These occupy more than 2/3 of all exchanges carried out globally to buy digital currencies with national currencies.

During the past year 2019, 65% of the internal volume of the exchanges from Latin America came from the purchase of bitcoin with national currencies. For its part, in the old continent it was 74%; United States 83%; 62% in the Middle East and Africa. The lowest percentage is 54% and corresponds to Asia and the Pacific.

According to different studies, traders come to cryptocurrencies through exchanges in these regions before they migrate to Asia and Pacific (APAC) markets for trading purposes. This means that there is a high volume of transactions that goes to Asia.

In the case of Latin America, 72% of transactions are executed in the markets or through accounts of the same exchanges. However, almost 30% is directed to external wallets, which can be both personal for coin holdings and other platforms.

On the other hand, it must be taken into account that traders are migrating to Asia. This fact is related to the number of virtual currencies that can be exchanged through platforms in Asia, where it is common that they can exceed 40. This fact is very significant when buying it with the 10 in North America and the 13 in Europe. In Latin America the average figure is lower.

Leverage

The level of leverage of the exchanges can influence the migration of traders, with greater leverage in the case of exchanges in Asia than in the rest of the regions. In Europe only 30% of them have leverage.

National and cross-border transactions in Latin America

For payment service providers, transactions from national currencies to bitcoin represent 65% of the total trading volume; and 63% of transactions worldwide. The remaining percentage has to do with international transactions.

In this case, 44% of all service provider operations involve domestic transactions worth less than $100. Those that involve transactions of more than $1,000 represent 31%.

In contrast to these data, it must be taken into account that cross-border transactions whose value is lower represent 30% and those of high value represent 45% of the total. This makes it possible to contradict those who indicate that there are those who use payment providers mainly to facilitate international payments.

It must also be taken into account that large providers execute cross-border transactions that are greater than $1,000 in the vast majority of cases. In fact, they are 65% of the time. Small transactions are 8% and those between $100 and $1,000 are 27%, very relevant data regarding transactions.