A new report from research firm Kaiko and the Dutch cryptocurrency exchange Bitvavo highlights the expansion of cryptocurrency trading in Europe: euro trading volumes are increasing, and the use of stablecoins is adapting to new regulations.
The report indicated that euro trading volumes throughout 2024 consistently surpassed the average levels of 2023, with peaks in March and November exceeding $42 billion per month. Researchers believe this reflects the growing role of the euro in cryptocurrency markets.
In 2024, the euro became the third most traded fiat currency in the crypto space, accounting for 7.5% of the total fiat trading volume. The US dollar maintained its dominance with a share of 49.9%, followed by the South Korean won at 33.4%.
In addition to the increasing importance of the euro in crypto markets, researchers also noted a shift in the stablecoin landscape in Europe.
The implementation of the European Union's Markets in Crypto-Assets (MiCA) regulation has significantly altered the stablecoin landscape in the region. These rules, which govern asset-linked tokens and electronic money, began to take effect on June 30, with full implementation scheduled for December 30.