- Similar to its Crypto Adoption Index, Chainalysis’ new index features rankings of countries based on their grassroots DeFi adoption
- The US, Vietnam, China, India and the UK led the way in the first Global DeFi Adoption Index
Chainalysis, a blockchain data platform, released its DeFi Adoption Index on Tuesday. The report tracks the nations that have demonstrated the highest grassroots adoption of DeFi protocols. The US, Vietnam, China, India and the UK led the way in the first Global DeFi Adoption Index.
Chainalysis ranked nations in three categories: on-chain DeFi value received, on-chain retail DeFi value received, and on-chain number of DeFi deposits. The first two are weighted to amend each nation’s wealth per resident to reduce inequalities between nations with wealthier and less wealthy populations.
The findings indicate that adoption is moving quickly in places with high-income populations. These are the populations that have already taken an interest in the cryptocurrency space. Chainalysis ranked 154 countries with these metrics.
Countries with the largest institutional and professional markets are driving the most DeFi adoption, according to Chainalysis. This is because DeFi remains the domain of the crypto insider, according to their research.
“DeFi adoption…has primarily been powered by experienced cryptocurrency traders and investors looking for new sources of alpha in innovative new platforms, even when we weigh our index to favor grassroots adoption,” reads the report.
Chainalysis released its Global Cryptocurrency Adoption Index for 2021 last week. According to the report, the total rate of global adoption of cryptocurrency increased by 880% across the world. According to the 2021 Global Crypto Adoption Index Top-20, Asia is at the top position in the world’s cryptocurrency adoption.