- Global crypto investors made huge profits in 2021 with realized gains of $163 billion
- The US was the largest investor in the world with $47 billion, according to a country-by–country comparison.
- Chainalysis reported that Ethereum and Bitcoin have seen huge price gains from parabolic factors.
Chainalysis has revealed that 2021 was a good time for crypto investors, according to a new report.
According to the reportThe global cryptocurrency realized gains reached $163 Billion, according to a report released on April 20, 2018. This represents a more than 400% rise compared with gains a year prior.
According to the firm’s data, the soaring prices of the most popular cryptocurrencies Bitcoin and Ethereum (ETH), helped investors increase their annual gains by $32.5 billion compared to 2020.
BTC and ETH both reached new highs in 2021. Bitcoin hit prices of $69,000 per coin while Ether, the native cryptocurrency on the Ethereum blockchain, touched a new high above $4,800.
Even though the year ended lower, both coins finished the year well above their annual openings. This means that investors close the year with large gains.
Bitcoin just barely edged Ethereum
One of the observable trends Chainalysis made for the year was the crypto’s second-largest cryptocurrency by market Ethereum drew in more realized gains than the king of crypto BTC.
Global realized gains from Ether totalled $76.3 billion. However, the same amount for Bitcoin puts the figure at $74.7 million.
According to Chainalysis, Ethereum’s slight edge against Bitcoin was largely down to an explosion in decentralised finance (DeFi).
US investors reached $47 billion
Comparing country-bycountry, the report places US crypto investors at the forefront of the curve. In 2021, US investors’ realized gains hit $47 billion. The figure is much higher than the UK’s ($8.2 billion), Germany’s ($5.8 billion), Japan’s ($5.5 billion), and China’s ($5.1 billion).
Russian investors made $4.3 billion in crypto investments, making them among the 10 most successful.
Globally, the report showed that Chinese investors lag their counterparts from the UK, US, and Germany in terms of realized gains in 2021.
Per the report, while China’s total realized gains jumped from $1.7 billion in 2020 to $5.1 billion last year, the 194% growth rate was lower than the three other major markets.
The 476% increase in digital asset gains realized by crypto investors in the United States was a result of a jump of 476%. The UK recorded 431% growth, while Germany saw a 423% rise. According to Chainalysis, “China’s lower growth rate most likely reflects declines in the country’s cryptocurrency activity following government crackdowns.”