Bitpanda Technology Solutions: A global overview of crypto ownership and adoption

In recent years, cryptocurrency has undoubtedly become a major force in global finance with more people engaging with digital assets than ever before. As of 2024, approximately 562 million people, or 6.8% of the global population, own cryptocurrency—up from 420 million in 2023. With adoption rising across North America, Asia, South America, and Europe, financial institutions must meet this growing demand or risk falling behind. The question isn’t if crypto will continue to rise, but how quickly and securely financial institutions can adapt to this paradigm shift and embrace digital assets as part of a diversified investment offering.

The rising global demand for digital assets

Each continent has seen significant increases in crypto adoption, though the unique drivers behind these trends vary by region. Asia leads in volume, while South America has witnessed the most significant growth in percentage terms.

Asia: With a tech-savvy population and an increasing need for capital mobility, Asia leads in crypto ownership with 326.8 million crypto holders. Asia has embraced crypto both as a means of capital movement and a hedge against financial instability. Blockchain innovations as well as governments and businesses beginning to adopt CBDCs (Central Bank Digital Currencies), have driven further mass adoption.

South America: Political instability, high inflation, and a large unbanked population have made crypto an attractive alternative for preserving wealth and making cross-border payments. Citizens seeking alternatives to depreciating domestic currencies have also encouraged increased crypto adoption, leading to a 116.5% surge in crypto ownership from 2023 to 2024.

North America: Early acceptance of cryptocurrencies for payments and the establishment of secure exchanges have contributed to steady adoption in North America. The region has also benefited from the early establishment of exchanges and regulatory milestones such as the recent SEC Spot Bitcoin ETF approval. In 2024, the continent’s crypto ownership rose by 38%, with 72.2 million people now holding digital assets.  

Europe: After seeing a 60.3% rise in crypto ownership between 2023 and 2024, Europe has emerged as a key player. Regulatory clarity and a robust financial infrastructure have made digital assets more accessible across the region, with countries like Germany, Austria, and Switzerland leading adoption. Institutional acceptance and integration into traditional banking systems have accelerated the mainstream appeal of crypto, positioning Europe as a major growth hub for digital assets. 

Europe – A closer inspection  

In 2024, Europe has seen a substantial increase in crypto adoption, with a 60.3% rise, making it one of the most important regions for financial institutions to keep an eye on in the future. Switzerland, Austria, and Germany are key players in this crypto boom, owing to their crypto-friendly regulatory environments, strong economies, and a rising appetite for digital assets, with France and Italy emerging players. 

Switzerland: As a global hub for wealth management, Switzerland has long embraced financial innovation. With 23% of its population owning crypto, the country is home to pioneering institutions like Crypto Valley, one of the world’s most advanced blockchain ecosystems, and crypto-friendly banks like Amina and Sygnum which offer a range of digital asset services. Consequently, Switzerland has become a global hub for blockchain innovation and digital assets, providing a solid option for those looking to adopt crypto within a secure, trusted framework. 

Austria and Germany: Both countries are significant players in the European crypto scene that benefit from strong economies and progressive approaches to digital finance. 

With an 18% crypto ownership rate, Austria possesses significant regulatory progressiveness and innovation. Bitpanda, Austria’s largest digital investment platform, has played a significant role in making crypto accessible to everyday investors, positioning the country as a hub for crypto investment. Austria’s strong economy and rising interest in digital assets, particularly among younger investors, have further fueled adoption.

Germany has positioned itself as one of the most crypto-friendly countries in Europe with an 11% ownership rate. Establishing itself as a hub for crypto innovation due to its progressive regulatory framework, Germany is home to the highest number of crypto-friendly banks in the EU including Neobanks like N26, Fidor, and Vivid, as well as traditional financial institutions like DZ Bank that have embraced digital assets. Bitpanda however leads the market in providing accessible crypto solutions.

France and Italy: At 9% cryptocurrency ownership, both France and Italy are making strides within Europe’s growing crypto market. While both countries have traditionally taken a more conservative approach to financial technologies, they are now catching up due to increased public awareness, growing investor interest, and the broader integration of digital assets into the financial ecosystem. 

In Italy, a 2024 Consob report revealed a significant rise in crypto investments, with the percentage of Italians holding cryptocurrencies in their portfolios increasing from 8% in 2022 to 18% in 2024. This sharp growth reflects a broader shift in investment preferences as Italian investors diversify away from traditional asset classes like bonds and savings accounts toward higher-yield opportunities in crypto.  

Similarly, France is seeing a notable transformation. With 14% of French investors now holding cryptocurrency, the asset class is on the verge of becoming one of the most popular in the country. In fact, only individual stocks, held by 15% of investors, rank higher. 

Europe’s rise compared to North America

Although North America has long been a leader in crypto adoption due to early infrastructure and regulatory milestones, Europe is rapidly catching up due to a combination of regulatory clarity, institutional integration, and public interest. Here’s a closer look at the key factors that have contributed to Europe’s rapid rise in recent times: 

Regulatory Framework

Europe’s regulatory approach has provided a secure and transparent environment for crypto investments. This added layer of trust is essential for mainstream adoption, helping to remove much of the uncertainty that surrounds digital assets by offering both retail and institutional investors the confidence to enter the market. Countries like Germany, Austria, and Switzerland are at the forefront due to their crypto-friendly policies as banks like Raiffeisen, Landesbank Baden-Württemberg (LBBW), N26, and Amina have integrated crypto offerings into their services, making digital assets more accessible. Moreover, the establishment of clear guidelines and legal frameworks has fostered innovation while offering protection to investors. 

Europe has created a safer environment for its citizens to explore crypto, far removed from the unregulated and often risky nature of early exchanges. Furthermore, regulation like the European Union’s upcoming MiCA (Markets in Crypto-Assets) regulation has encouraged more traditional financial institutions to enter the crypto space, making Europe a prime example of how regulation can supplement innovation.

In contrast, North America— particularly the United States—has faced a more fragmented regulatory landscape, with different states enforcing varying rules and federal agencies, such as the Securities and Exchange Commission (SEC) and Commodity Futures Trading Commission (CFTC), often adopting different stances on crypto regulation. While the U.S. has made progress with moves like the approval of a Spot Bitcoin ETF, regulatory uncertainty still lingers, potentially slowing broader institutional adoption compared to Europe.

Cryptocurrency as an Alternative Investment

In the eyes of many European investors, Bitcoin and other cryptocurrencies have evolved beyond speculative assets and are now seen as viable alternatives to traditional investments. The global economic volatility, rising inflation, and depreciating domestic currencies have pushed investors to look for alternative stores of value. Bitcoin, with its fixed supply and decentralised nature, offers a hedge against these economic pressures.

For younger generations, crypto is not just an alternative investment but a core element of their financial strategies. To these digital natives, the concept of managing a portfolio without crypto seems increasingly outdated and incomplete. Cryptocurrencies offer a dynamic, high-growth option that appeals to this new generation of investors seeking diversification outside the more traditional realms of stocks and bonds.

In North America, while institutional adoption is strong, particularly in the U.S. and Canada, the integration of crypto into mainstream banking has been much slower. 

Accessibility 

One of the key drivers of crypto adoption in Europe is the improved accessibility and integration of digital asset services within regulated financial institutions. Banks like Raiffeisen and LBBW offer cryptocurrency services, providing a trusted and secure environment for investors to buy, sell, and store their digital assets.

As more regulated brokers and traditional financial players are entering the crypto space, this encourages investors to engage with crypto within the same ecosystem as their traditional banking activities. 

In North America, crypto services are often provided through third-party platforms (e.g. Coinbase, Paypal etc.) rather than being embedded directly into the banking infrastructure. Although crypto exchanges have played a large role in North American adoption, direct integration with traditional finance has been a more gradual process.

Blockchain Technology Building Trust

The underlying blockchain technology that powers cryptocurrencies is another driving force behind Europe’s crypto adoption. Blockchain’s decentralised, immutable nature builds trust, as it offers transparency, security, and efficiency—qualities that traditional financial systems are often criticised for lacking. This robust technology has garnered the trust of both individuals and businesses, making cryptocurrencies an attractive option for those seeking a reliable system that cannot be easily manipulated. Moreover, Europe has been quick to understand the potential of blockchain technology beyond cryptocurrencies including sectors like finance, logistics and healthcare.  

Similarly, North America has also been a global leader in blockchain innovation, with major enterprises like IBM and JP Morgan using the technology to streamline operations, reduce fraud, and enhance transparency in transactions. The rise of decentralised finance (DeFi) platforms and the tokenisation of assets have further expanded blockchain’s role in the financial ecosystem. Though regulatory uncertainty in the U.S. has created some barriers to broader adoption, institutions in the region continue to drive blockchain forward, solidifying its importance as a trust-building tool for digital and financial transactions.

The New Generation’s Financial Future

Another major factor in the rise of crypto adoption in Europe is the growing interest in investments among the younger generation. For millennials and Gen Z, cryptocurrencies are a natural part of managing their financial futures. In fact, in Bitpanda & YouGov survey, 46% of millennials and Gen Z were convinced that Bitcoin's value will increase, with almost one in three people under the age of 43 planning to invest in cryptocurrencies in the year.

This demographic shift is crucial because these younger investors are not just adopting crypto—they are setting the trends for the future of finance. These generations have grown up in a digital-first world, and the idea of engaging with decentralised, borderless currencies fits seamlessly into their worldview. To remain competitive, European banks like Raiffeisen, N26, and LBBW, meet this demand by providing access to both crypto and traditional assets. 

In North America, the trend is equally pronounced, with younger generations driving the surge in crypto adoption. A recent Policygenius survey in the United States revealed that 20% of Gen Zs and 22% of millennials are much more likely to invest in cryptocurrencies and nonfungible tokens (NFTs) compared to older generations. Major North American exchanges such as Coinbase and Gemini have become household names among the millennial and Gen-Z demographic, providing accessible platforms for digital asset investment. In response, North American fintech companies and neobanks are increasingly integrating crypto offerings to appeal to younger, tech-savvy investors who view digital assets as essential to a diversified portfolio. This generational shift is pushing traditional financial institutions to innovate, with many now incorporating crypto services to remain relevant in a rapidly evolving market.

What are the implications for financial institutions? 

With Europe at the forefront of crypto adoption, financial institutions must recognise the growing demand for digital assets and adapt to meet the evolving needs of their clients to retain a competitive edge. By integrating crypto offerings into their portfolios, banks and financial institutions can not only keep pace with market trends but also tap into new revenue streams and attract a broader, younger customer base. Here’s how: 

Early-adopter advantage: Those who act quickly will secure a competitive edge, capturing the attention of both existing clients and new, tech-savvy investors. The financial institutions that integrate crypto offerings early will benefit from early-adopter advantage, getting a foothold in the growing crypto market and solidifying their position as innovators in the space.  

Customer retention and attraction: As crypto becomes even more mainstream, clients will expect their financial institutions to offer crypto as a standard.  Institutions that fail to provide this option risk losing customers to more agile, forward-thinking competitors. Therefore, offering crypto can help banks retain existing customers while attracting younger, more tech-savvy clientele looking for alternative investment options.  

Diversification of offerings: By adding digital assets to their portfolios, financial institutions can enhance their service offerings, tap into new additional revenue streams, and position themselves as leaders in the rapidly changing financial landscape. The rising importance of crypto means it will soon be as indispensable to investors as traditional assets like stocks and ETFs. An expanded product suite that includes equities, crypto, commodities, and precious metals allows institutions to position themselves as full-service investment platforms.

Bitpanda Technology Solutions enables crypto

The global trends are clear. Cryptocurrencies are no longer just a speculative asset. They are becoming an integral component of modern investment strategies and the message is clear: crypto is here to stay and the time to act is now. 

As adoption continues to accelerate, many financial institutions are at a crossroads. For those yet to adopt, offering crypto within a familiar, regulated banking environment provides a major opportunity to engage new customers. As investors increasingly look for one-stop solutions to manage their traditional and digital assets, integrating crypto into a trusted investment platform allows financial institutions to meet this demand seamlessly.

Integrating digital assets into your offerings ensures that your institution stays competitive, relevant, and future-ready. Bitpanda Technology Solutions is an experienced, secure investment and custody platform that enables you to offer crypto, equities, commodities, and precious metals—all in one place. With our modular infrastructure, our platform is catered to your needs.  We provide the foundation, and you decide what you want to build. 

We designed a platform that empowers our partners by giving their customers instant access to a diversified portfolio, positioning their institutions as leaders in the digital finance revolution. Integration can be completed in under six months, helping our partners prepare for the next wave of crypto adoption and secure their place at the forefront of the industry.

Will you seize this opportunity, or will you risk being left behind?

Contact us today and find out how Bitpanda Technology Solutions can help you meet the growing demand for crypto and digital assets. 

Disclaimer

This article does not constitute investment advice, nor is it an offer or invitation to purchase any digital assets.

This article is for general purposes of information only and no representation or warranty, either expressed or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of this article or opinions contained herein.