Cryptocurrencies - Industry Report - Q3 2021

Cryptocurrency
Industry Reports
Global August 2021
Report Summary Table of Contents

• Report Summary
• Retail and institutional investor interest in digital currencies rose dramatically
• Current Environment
over the past 12 months. Loose monetary policy and fears of inflation forced
• Sector Performance
investors to look for alternative ways to preserve the value of their capital, which
has been fuelling the rally in cryptocurrencies. • Leading Players
Major Cryptocurrencies Covered
• However, regulatory developments in recent months led to correction in - Bitcoin (BCH)
cryptocurrency prices. After making new highs of around US$64,000 in April - Ethereum (ETH)
2021, Bitcoin prices fell off amid intensifying cryptocurrency crackdown in China. - Ripple (XRP)
- Litecoin (LTC)
• Despite the headwinds, cryptocurrency continued to draw interest and its market - Tether (USDT)
capitalisation crossed the US$2 trillion mark. The trend of public companies - Cardano (ADA)
looking to cryptocurrencies as an alternative to cash also supported interest - Stellar (XLM)
- Binance Coin (BNB)
• Some companies converted a portion of their treasury assets into cryptocurrency.
- Theta (THETA)
This included MicroStrategy and Square Inc. The latter bought ~$230 million
worth of Bitcoin, while MicroStrategy has Bitcoins worth $2.9s billion. - Uniswap (UNI)
Leading Cryptocurrency Exchanges
• Despite an increase in cryptocurrency prices, regulations remained unclear. Covered
A clear cryptocurrency regulatory regime is needed as major firms pledge to - Coinbase
embrace digital assets. However, the regulatory landscape remained ambiguous, - Kraken
with many countries not yet stating a clear policy stance, which has added to - Huobi Global
volatility and risk. - BitFlyer
- Bithumb
• The US has no clear regulation for the cryptocurrencies at federal level. Different - Bitfinex
agencies have their own view on cryptocurrencies, which has made it difficult to
- KuCoin
have uniform regulation.
- Binance
• High volatility and low liquidity have become the two most contentious issues - Bitstamp
associated with cryptocurrencies. If cryptocurrencies aim to replace fiat currency - Bittrex
or become an alternative store of wealth, then the volatility needs to be • Industry Overview
reduced. • Policy and Regulatory Environment
• Market Trends
• The cryptocurrency mining stocks trading on the US markets also suffered • Market Outlook
retreating from highs seen in the early part of this year. But still, two • Report Scope and Methodology
cryptocurrency mining companies namely Riot Blockchain and Marathon Patent • Key References
Group managed to deliver decent gains of 134% and 265% respectively since
the start of 2021.
• Despite the growing adoption of cryptocurrencies, scepticism around their

sustainability remains. Whether cryptocurrencies are just a passing phase or a
viable investment, remains to be seen. For now, the story seems to be evolving
with no clear picture in sight.
1
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Report Summary
August 2021 Cryptocurrency - Global
Table: Top Cryptocurrencies – Year to Date 2021 Price Performance
Source: Coinmarketcap
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Current
Environment
Rising Interest in Cryptocurrencies

Retail and institutional investor interest in digital currencies rose dramatically over the past 12 months. Loose monetary
policy and fears of inflation forced investors to look for alternative ways to preserve the value of their capital, which
fuelled the rally in cryptocurrencies. For the year 2020, Bit coin was up nearly four times and Ethereum was up
nearly six times.
However, regulatory developments in recent months led to correction in cryptocurrency prices. After making new highs
of around US$64,000 in April 2021, Bitcoin prices fell off amid an intensifying cryptocurrency crackdown in China. The
Chinese government summoned large banks and warned them to adhere to rules that prohibit Chinese banks from
engaging in crypto-related transactions. This was in addition to the crackdown on crypto mining operators. Many crypto
mining companies have suspended their operations in China.
Further, reports of regulations involving cryptocurrencies in the US have also weighed on the prices. These regulations
suggest possible taxation of crypto trades and crypto business to increase tax revenue and help fund the new infrastructure
deal. Further, indications by Federal Reserve regarding sooner-than-expected tapering also impacted on the appetite
for cryptocurrencies. Although the federal reserve balance sheet continued to expand, data released by the Federal
Reserve in end of July 2021 showed a new all-time high in the central bank’s balance sheet.
Despite the headwinds, cryptocurrency continues to draw interest and its market capitalisation crossed the $2 trillion
mark. The trend of public companies looking to cryptocurrencies as an alternative to cash also supported interest.
Some companies converted a portion of their treasury assets into cryptocurrency, including MicroStrategy and Square
Inc. The latter bought ~$230 million worth of Bitcoins, while MicroStrategy has Bitcoins worth $2.9 billion. Earlier this
year, Tesla had announced the purchase of $1.5 billion in Bitcoins, but has since stated it will no longer accept them
due to its adverse impact on the environment.
In August 2021, United Wholesale Mortgage, the second-largest mortgage lender in the US, announced plans to
accept cryptocurrency as payment for mortgage loans. The company expects to accept Bitcoin as soon as Q3 2021. It
then plans to expand into accepting Ethereum and other cryptocurrencies as well.
Table: Bitcoin Outperformed Nasdaq Over the Last 12 Months
Source: Yahoo Finance

Current Environment
Clear Regulations Needed

Governments across the globe are being forced to put in place regulations on virtual currencies amid their increasing
popularity. A clear cryptocurrency regulatory regime is needed as major firms start to embrace digital assets. However,
the regulatory scenario still remains ambiguous, with many countries not yet stating a clear policy stance, which has
added to volatility and risk.
The US has no clear regulation for the cryptocurrencies at the federal level. Different agencies have their own view on
cryptocurrencies, which has made it difficult to have a uniform regulatory regime. Hester Peirce, a Commissioner at the
US Securities and Exchange Commission, has said there was an urgent need for clear regulations. Outside of the US,
various regulations are being developed to achieve differing goals. Some countries may block any use of cryptocurrency,
while others, such as China, attempt to restrict its use and are focusing on their own digital currency (Digital Yuan).
High Volatility and Low Liquidity

High volatility and low liquidity have become the two most contentious issues associated with cryptocurrencies.
If cryptocurrencies aim to replace fiat currency or become an alternative store of wealth, then the volatility has to
dramatically reduce. Currently, a 10% move in Bitcoin on a given day has become a regular feature which does not
inspire confidence as a store of wealth for many institutional investors. Many believe that regulatory certainty will solve
some of cryptocurrencies biggest issues associated with high volatility and low liquidity.
Sweden’s financial regulator issued a fresh warning to retail investors about the risks and lack of consumer protection
associated with crypto-related investments. The South Korean Financial Services Commission (FSC) head also remains
sceptical about digital currencies such as Bitcoin. He has said “International organizations, including the Group of 20
and the International Monetary Fund, as well as a lot of market experts, find it difficult to consider virtual currencies as a
financial asset, and think they could not function as a real currency.”
In February 2021, US Treasury Secretary Janet Yellen criticized Bitcoin, saying that the world’s largest cryptocurrency was
a, extremely inefficient way of conducting transactions. The same month, the President of the Federal Reserve Bank of
St. Louis, James Bullard, also warned against volatility of cryptocurrencies. He said private currencies such as Bitcoin are
not able to maintain a stable value against goods and other currencies, nor is their future supply clear.
Bitcoin volatility index (BVIN Index), measured by CryptoCompare, a leading cryptoasset market data provider, has
remained high since the start of this year as shown below.
Table: Bitcoin Volatility Index
Source: CryptoCompare

Current Environment
Cryptocurrencies – Are They a Speculative Bubble or Opportunity?

Despite growing adoption of cryptocurrencies, scepticism around its sustainability remains. UBS Wealth Management
noted that cryptocurrencies recent surge is a speculative bubble given their limited real world use and extreme
volatility. It further noted that investors should exercise extreme caution as any change in sentiment or regulatory
crackdown could pose significant risk to their investments. UBS also states that cryptocurrencies are unlikely to
become mainstream currencies.
The current US Treasury Secretary has Janet Yellen also described cryptocurrencies as highly speculative. European
Central Bank President Christine Lagarde has also declared that Bitcoin is not a currency and is a highly speculative
asset requiring global regulation. Cryptocurrency sceptics say that the momentum cannot be sustained. Unlike real
estate or stocks, cryptocurrencies have no underlying value. Robert Shiller, a Noble Prize winning economist has also
suggested that cryptocurrencies are a bubble.
On the contrary, there are many proponents of cryptocurrencies as well. The cryptocurrency has the backing of big
firms and venture capitalists including PayPal, eBay, Uber, Spotify and Vodafone. Cryptocurrencies have received
endorsement from mainstream investment companies such as Fidelity. Fidelity Digital Assets believes Bitcoin’s market
cap has plenty of room to grow. Fidelity recommended that portfolios consider a 5% allocation in Bitcoin.
Whether cryptocurrencies are just a passing phase or a viable investment, remains to be seen. For now, the story
seems to be evolving with no clear picture in sight.
Table: Bitcoin – Prices have Corrected

Sector
Performance
The cryptocurrency market has seen a mixed year to date in 2021. After a rally in the first four months of the year,
prices corrected amid regulatory developments in China. Bitcoin touched a high of US$64,000 mark in April 2021 and
then retreated significantly falling below $30,000 in July 2021. Since then, the prices have picked up again with Bitcoin
around US$47,379 as of August 27, 2021. Overall, year to date 2021, Bitcoin has risen by 62%.
Table: Bitcoin vs. Ethereum – 12 Month Price Performance
The Bloomberg Galaxy Crypto Index (BGCI) is designed to track the performance of the largest, most liquid portion
of the cryptocurrency market. The BGCI is market capitalization-weighted and measures the performance of
cryptocurrencies, including Bitcoin, Ethereum, Monero, Ripple, and Zcash. The index rose more than 360% over the
last 12 months, while year to date 2021 the index has increased by nearly 110%.
Table: Bloomberg Galaxy Crypto Index
Source: Bloomberg

Sector Performance
The cryptocurrency mining stocks trading on the US markets have also suffered retreating from highs seen in the
early part of this year. But still, the two cryptocurrency mining companies namely Riot Blockchain and Marathon
Patent Group have managed to deliver decent gains of 134% and 265% respectively since the start of 2021.
Table: Top Cryptocurrency Mining Stock Rises

Company Aug 28, 2020 Aug 27, 2021 % Change Highest Closing Lowest Closing
Riot Blockchain
3.59 38.57 974% 77.90 2.57
(NASDAQ: RIOT)
Marathon Digital Holdings
2.56 40.20 1470% 56.56 1.64
(NASDAQ: MARA)
Source: Acquisdata analysis

Leading
Players
MAJOR CRYPTOCURRENCIES
1: Bitcoin (BCH)
Industry: Cryptocurrency
Market Capitalization: US$891 billion (as of August 27, 2021)
Website: www.Bitcoin.org
Bitcoin was the first cryptocurrency which came into being in 2008. It was invented as a peer-to-peer system for use in
online transactions. Bitcoin is unlike any other payment system because of its decentralized nature versus traditional
currencies which are typically controlled by a central authority (mostly central banks). The decentralized, open‐source
nature of Bitcoin gives it several advantages over other transaction systems. Some of them include:
Fast payments: Bitcoin offer a fast way of sending money. There are no intermediary or banks involved to slow down
the payment process.
Secure: Bitcoin transactions are secured by military grade cryptography. Bitcoins are generally stores in wallets which
are usually protected via security features.
Anonymous: Bitcoin allows users to transact without revealing the identity
Bitcoin has been publicly trading since 2009 but generated very little interest in the beginning. It changed since 2013
as Bitcoin users grew and the theme was picked up by the media. Currently, Bitcoin is the most traded cryptocurrency
worldwide with a market share of over 44%.
The total number of Bitcoins that can be issued is limited to 21 million units. Currently, the number of Bitcoins mined
has reached the 89% milestone, with more than 18.77 million Bitcoins in supply. Only 2.4 million Bitcoins are left to be
mined. Its current market capitalization was US$891 billion as of 27 August 2021. For the year to date 2021, Bitcoin
prices are up nearly 62%.

Leading Players
Table: Price Chart YTD
Source: Coinmarketcap.com
2: Ethereum (ETH)
Website: www.ethereum.org
Ethereum is a decentralized platform that runs smart contracts: applications that run exactly as programmed without
any possibility of downtime, censorship, fraud or third-party interference. It was founded in 2013 by Vitalik Buterin and
uses a cryptocurrency called Ether. It is used as a payment method for transaction on the Ethereum platform. Ether is
the world’s second-largest cryptocurrency by market capitalization behind Bitcoin, with a value of US$362 billion as of
27 August 2021.

Leading Players
While Bitcoin was designed to function as a peer-to-peer electronic payment system, Ethereum was designed for
smart contracts that execute when specific conditions are met. The Ethereum platform can process transactions much
faster and cheaper than Bitcoin blockchain. The Ethereum network can process a block every 15-20 seconds compared
to Bitcoin, which takes ten minutes for a block.
The issuance of Ether is limited to 18 million per year. Ethereum has risen ~326% year to date 2021. As of 3 August
2021, Ethereum had seen a total of 165 million unique wallet addresses, versus just 131 million at the beginning of this
year. This is a sign of significant growth in its user and investor base.
3: Ripple (XRP)
Website: www.ripple.com

Leading Players
Ripple is a real-time settlement system designed to be used by banks for currency exchange, remittance and gross
settlement. It was founded in 2012 by Ripple Network. Ripple uses distributed ledger technology, similar to Bitcoin.
When compared with Bitcoin, it is faster and cheaper to do transactions on the Ripple network. Per second, Ripple’s
technology can process 1500 transactions, compared to Bitcoin which takes seven transactions per second.
The Ripple Network uses its own native cryptocurrency, XRP. Its market capitalization was US$50.5 billion as of 27
August 2021. Unlike Bitcoin, XRP is not mined but is issued by Ripple Labs. The amount of Ripple units is limited to
100 billion, with 99 billion already generated and around 46 billion distributed to the users. On 4 May 2021, Ripple
announced hiring of new CFO, Kristina Campbell. She will drive Ripple’s financial strategy, accelerate growth and
deliver value to shareholders as business momentum continues to grow globally.
Key Features
Instant Payments: The interbank payment settlement takes place on the international SWIFT network and also on
some smaller national networks more locally. These transfers and settlements are invariably very slow and can take a
matter of days for settlement. While, Ripple payments can be settled around the globe almost instantaneously.
End to end payment service: The Ripple network is specifically designed to help banks provide easy and fast cross-
border payment services. The Ripple network can handle the entire transaction including foreign exchange currency
conversion.
Ripple was caught on the wrong side of the US regulation wherein SEC filed an enforcement action against Ripple in
December 2020, alleging that the company conducted an unregistered securities offering. The case is still ongoing.
4: Litecoin (LTC)
Market Capitalization: US$11.1 billion (as of August 27, 2021)
Website: www.litecoin.com
Founded in 2011 by Charlie Lee, Litecoin was initially launched as a lighter version of Bitcoin. It is very similar to
Bitcoin in its technical implementation. The initial idea was to adopt some of the salient features of Bitcoin and further
improve on them. In line with this, Litecoin has kept its maximum supply to 84 million units in total (versus just 21
million for Bitcoin). Litecoins are mined similarly to Bitcoin. The advantage over Bitcoin is in faster processing speed.
A Litecoin block is generated every 2.5 minutes, which implies it is 4x faster than Bitcoin. Due to more frequent block
generation, the network supports more transactions.

Leading Players
The market capitalization of Litecoin stood at US$11.1 billion as of 27 August 2021. As of 26 August 2021, it had over
264,000 active wallets, versus just 88,000 at the beginning of this year. This implies that institutional investors such as
Bitwise and Grayscale Investments are interested in the altcoin.
5: Tether (USDT)
Website: www.tether.to
Tether was launched in 2014 by Tether Ltd and started trading in February 2015. Tether (USDT) is a stablecoin, a
type of cryptocurrency that peg their market value to an external reference to minimize the volatility of the price of
cryptocurrency. A Tether token is 100% backed by its reserves, which include traditional currency and cash equivalents
and may also include other assets and receivables from loans made by Tether to third parties. Every Tether token is 1-to-
1 pegged to the dollar (USD) in terms of value.

Leading Players
Tether tokens are easy to buy and sell and are listed on popular cryptocurrency exchanges that include Binanace,
CoinSpot, BitFinex, and Kraken. It is the fifth largest cryptocurrency by market capitalization and currently 65.5 billion
tether tokens are in circulation.
6: Cardano (ADA)
Website: www.cardano.org
Cardano is a decentralised public blockchain and cryptocurrency project and is fully open source. The Cardano project
began in 2015, while its cryptocurrency is named ADA began trading in October 2017. The platform aims to solve the
problems of scaling and high infrastructure requirements of Bitcoin.

Leading Players
The Cardano platform uses proof-of-stake blockchain which has significantly less energy requirements compared to
proof-of-work blockchain used by cryptocurrencies such as Bitcoin. Cardano is claimed to be four-million times more
energy-efficient than Bitcoin (BTC).
The market capitalization of Cardano was US$82.6 billion as of 27 August 2021. For year to date 2021, Cardano was
up more than 1,405%, outperforming a majority of other large-cap cryptocurrencies, including Bitcoin.
The Cardano network has seen its network activity steadily rise this year, with metrics such as the number of daily active
addresses, the total number of addresses, and the number of transactions all going up. As of 29 March 2021, it had
662,912 active wallets, which is nearly three times higher since the beginning of 2021.

Leading Players
7: Stellar (XLM)
Website: www.stellar.org
Stellar is a cryptocurrency and blockchain platform which is used for moving money across borders quickly, reliably and
cheaply. It has many similarities to Ripple. Stellar.org, the organization that supports Stellar, is centralized like Ripple.
The major difference with Ripple is that Stellar.org is non-profit and their platform is open source and decentralized.
The market capitalization of Stellar was US$7.86 billion as of 27 August 2021.
Stellar also offers ability to issue tokens and host ICOs just like Ethereum. Stellar is less expensive and faster than
Ethereum. Stellar Foundation notes that the average transaction time on Stellar is 4-5 seconds, which is significantly
faster than most of the projects available on the cryptomarket.
Stellar has reduced the supply of lumens by more than half from 105 billion lumens to ~50 billion lumens. Currently,
there are only 23.5 billion lumens in circulation.

Leading Players
8: Binance Coin (BNB)
Website: www.binance.com
Binance Coin (BNB) is a cryptocurrency which issues by Binance, a leading cryptocurrency exchange. The binance coin
was principally aimed to support activities of the Binance exchange. This includes using BNB to pay for trading fees,
exchange fees, listing fees, and any other fees on the Binance exchange. However, the token has gained support from
partnerships and is now used for other use cases as well.
The market capitalization of BNB was US$79.8 billion as of 27 August 2021. BNB’s maximum supply is limited to 200
billion tokens. Currently, 168.1 billion BNB tokens are in circulation.

Leading Players
9: Theta (THETA)
Website: www.thetatoken.org
Theta is the cryptocurrency of blockchain project Theta Network. Theta blockchain in an end-to-end infrastructure
for decentralized video streaming and delivery. The blockchain project is advised by Steven Chen, the co-founder of
YouTube, and Justin Kan, co-founder of Twitch. Theta blockchain projects delivers higher quality and smoother video
streams. The video platforms no longer need to build expensive infrastructure, which means they can focus more on
innovation and unique business models. Its market capitalization of Theta was US$6.5 billion as of 27 August 2021.
Under decentralized video streaming, users share their excess bandwidth and resources and are rewarded to
participate in the network. In Theta project, users are rewarded with Theta Fuel (TFUEL). Thus, users benefit by
sharing their bandwidth and resources, while content creators benefit from lower streaming costs.
Table: Theta Video Streaming Decentralized Delivery
Source: Theta

Leading Players
10: Uniswap (UNI)
Website: www.uniswap.org
Uniswap (UNI) is the primary token for the Uniswap decentralized exchange. The popular exchanges such as Coinbase,
Binance which are all centralized and governed by a single entity. Uniswap is a completely different type of exchange
which is fully decentralized, meaning that it is not owned and operated by a single entity. It uses a new type of trading
model called an automated liquidity protocol which is aimed at solving liquidity issues typically associated with
centralized platforms.
Uniswap introduced UNI token in September 2020 as a tool for governance. UNI token gives holders the right to vote
on new developments and changes to the platform. Investors can buy UNI tokens from several different exchanges,
including Binance, Bitfinex, Coinbase Pro, Gemini, Huobi, Kucoin, and Uniswap itself.

Leading Players
LEADING CRYPTOCURRENCY EXCHANGES

1. Coinbase
Website: www.coinbase.com
Coinbase is the leading US exchange for trading cryptocurrency. It has 68 million users and services more than 100
countries for exchange service. It has traded volume worth more than $450 billion since inception. The platform is
ideal for retail investors and newcomers looking for simple way to trade cryptocurrencies.
Coinbase listed on the Nasdaq on 14 April 2021 under the ticker COIN. The company boasts of ~68 million retail
users, 9,000 institutions, and 160,000 ecosystem partners in over 100 countries to buy, sell and store digital assets.
The monthly transacting users on the platform stood at 8.8 million as of June 30, 2021. The total assets on its platform
have grown to ~US$180 billion as of the end of Q2 2021 (up 26x versus US$7 billion in 2018).
Trading volume in Q2 2021 was US$462 billion, an increase of 38% compared to Q1 2021. Total retail trading volume
was US$145 billion, an increase of 21% compared to Q1. Retail volume comprised 31% of total trading volume.
Institutional Trading Volume was US$317 billion, an increase of 47% compared to Q1 2021. Institutional volume
comprised 69% of total Trading Volume, up from 64% in Q1 2021.
Table: Coinbase Delivering Record Trading Volumes

TRADING VOLUME ($B) Q2’20 Q3’20 Q4’20 Q1’21 Q2’21
Retail 11 18 32 120 145
Institutional 17 27 57 215 317
Total 28 45 89 335 462
TRADING VOLUME (% OF TOTAL) Q2’20 Q3’20 Q4’20 Q1’21 Q2’21
Bitcoin 57 32 38 39 24
Ethereum 15 18 14 21 26
Other crypto assets 28 50 48 40 50
Total 100 100 100 100 100

Source: Coinbase

Leading Players
2. Kraken
Website: www.kraken.com
Founded in 2011 by Jesse Powell, Kraken is a cryptocurrency exchange based in San Francisco. It is the world’s largest
Bitcoin exchange in euro volume and liquidity. It has all the functionalities of a typical exchange such as market and
limit orders, stop loss orders; take profit orders, combined order. Kraken is consistently rated the best and most secure
Bitcoin exchange by independent news media.
Kraken is the first exchange to display its market data on the Bloomberg Terminal and also offers leveraged margin
trading. Kraken investors include Blockchain Capital, Digital Currency Group, Hummingbird Ventures, Money Partners
Group, and SBI Investment. Kraken now offers 155 trading pairs to investors, further diversifying their portfolios and
trading options. Further trading pairs will be added to the exchange in the future.
In February 2021, Bloomberg reported that Kraken is in talks with financial services company Fidelity, venture capital
firm Tribe Capital and investment firm General Atlantic for new fund raise, which could value the company at nearly
$20 billion.
Kraken is seeing significant traction in 2021 which is showing signs of becoming a record year. In January and February
2021 alone, Kraken processed more than $116.4 billion in trading volume, which is 15% more than the entire volume
in 2020. Kraken continues to see an inflow of new customers. Total signups in the first two months of 2021 were 3x the
number reported in H2 2020.
US-based cryptocurrency exchange Kraken is preparing to expand operations in the European market. Kraken also
plans to offer crypto-focused online banking services in the US towards the end of this year. This will be an extension
of the banking license it received in the state of Wyoming last year.

Leading Players
3. Huobi Global
Website: www.huobi.com
Founded in China, Huobi Global is a leading platform to buy and sell digital assets. It serves nearly 5 million users in
over 130 countries. Huobi registered a trading volume of $2.3 trillion, implying an average of $6.3 billion per day in
2020. It is now the largest cryptocurrency exchanges by trading volume.
Huobi provides trading in more than 350 cryptocurrencies with this number expected to increase further as new
altcoins are added to the platform. The standard Huobi crypto to crypto trading fee is 0.2% on both the maker and
taker sides of the trade. Fiat to crypto trading commands a fee of 0.7%
Key Features
Margin Trading: allows 5x leverage for spot trading.
Credit card: allows users to buy cryptocurrency with their credit cards
High liquidity: offers high orderbook liquidity. This ensures easy execution of high-volume orders.
Security: Client funds are held in dedicated multi-signature cold wallets. Also has set aside a dedicated 20,000 BTC
security reserve fund.
4. BitFlyer
Website: www.bitflyer.com
Founded in Japan, bitFlyer is the largest Bitcoin exchange in the world by volume. It enables users to buy, sell and
spend Bitcoins. The exchange also added US and European operations in 2017. While primarily started as a Bitcoin
trading exchange, it has since expanded and added various other altcoins for trading as well. The exchange charges
some of the lowest fees among other exchanges and thus remains a popular option for investors.

Leading Players
As the one of the only exchanges in the world licensed to operate in the US, Japan, and Europe, bitFlyer has been at
the forefront of regulatory partnerships. It continues to expand its presence in the US and also plans to expand into
Africa, South America, Australia and other parts of Asia.
Since inception, the exchange has raised over $37 million in 8 rounds of funding. The exchange is backed by some
renowned investors such as Digital Currency Group, SBI Investment, Venture Labo Investment, and others.
Key Features
Ease to use platform: BitFlyer offers trading interfaces that are simple to use for beginners. Trading is available
anytime, anywhere - even on weekends and national holidays.
High security: Bitcoins are stores in cold wallets. Encryption is provided as well.
Futures trading: It offers futures trading via its lightning platform.
5. Bithumb
Website: www.bithumb.com
Based in South Korea, Bithumb based is one of the largest cryptocurrency exchange globally by volume. Bithumb
is operated by a company called BTC Korea.com Co. Ltd. It is also routinely ranked among the top 10 worldwide
cryptocurrency exchanges in terms of trading volume. It was ranked the number one (#1) cryptocurrency exchange in
South Korea as of December 2020.
The exchange facilitates the buying and selling of more than 100 cryptocurrencies, all for a flat rate trading fee of
0.15%. Bithumb is a great platform for new investors who are just beginning to enter the world of cryptocurrency
investments. The platform is very easy and straight forward to use.
Bithumb announced new goals for 2021. It is targeting to launch several new products and aims to achieve regulatory
goals in 2021. It plans to obtain the Virtual Asset Service Provider (VASP) license from the Financial Action Task Force
(FATF).

Leading Players
In a recent development in March 2021, US-based Morgan Stanley is planning to acquire a stake in Bithumb. This is
part of bank’s plan to offer its wealthy clients access to Bitcoin. Though, Morgan Stanley limits BTC investments to
2.5% of the client’s total net worth. The exchange has been under the news earlier as well when gaming giant Nexon
was trying to acquire a stake in Bithumb, but the deal did not go through.
Bithumb reported strong growth in the first half of 2021. Its revenue in the first half of the year stood at 608.7 billion
won (US$520.9 million), soaring 507% year-on-year, while its net profit rose a whopping 1,100% to 603.3 billion won.
Table: Trading Volume of Bitcoin on Bithumb
Source: Statista

Leading Players
6. Bitfinex
Website: www.bitfinex.com
Bitfinex exchange is based in Hong Kong and started operations in 2012. The exchange is operated by the company
iFinex Inc. The exchange offers one of the most advanced trading platforms with highly liquid order book and variety
of order types such as limit, market, stop, stop-limit, trailing stop, fill or kill, and scaled orders.
Bitfinex allows up to 10x leverage trading by providing traders with access to the peer-to-peer funding market. Bitfinex
also provides over the counter trading facility for executing large trades directly with a counterparty.
The exchange has had its share of issues with various hacks. There have other allegations of wrongdoing by the
exchange as well, which has daunted its image. But the high cryptocurrency liquidity combined with advanced
features such as margin funding, leverage, and multiple order types makes it a good choice for advanced traders.
In March 2021, Btfinex launched Bitfinex Pay, aimed at providing online merchants with a means of receiving
contactless and borderless digital token payments.
7. KuCoin
Website: www.kucoin.com
Launched in September 2017, KuCoin is one of the fastest growing cryptocurrency exchanges in the world. It provides
users with a secure platform to buy and sell more than 200 cryptocurrencies. It currently provides spot trading, margin
trading, P2P fiat trading, futures trading, staking, and lending to its 6 million users in 207 countries and regions around
the world. KuCoin has secured $20 million in Round A funding from IDG Capital and Matrix Partners.
KuCoin exchange supports 53 national currencies with plans to integrate emerging payment tools and popular
gateways such as BTC Direct and Mobilum. In 2020, its margin trading volume increased 217% year on year. In
January 2021, KuCoin introduces the Trading Bot feature. The bot allows users to create an automatic investment plan,
which is a way to control risks and earn long-term returns.

Leading Players
8. Binance
Website: www.binance.com
Binance is one of the world’s leading cryptocurrency trading platform positioned within top ten exchanges by traded
volume globally. The exchange boasts of $2 billion in average daily traded volume and nearly 1.4 million transactions
per second. Binance is known for its low trading fees (0.1%) as well as its fast transaction processing. Binance supports
more than 500 cryptocurrencies. It offers liquidity for a variety of coin pairings including NEO/BTC, GAS/BTC, ETH/
BTC, and BNB/BTC.

Leading Players
Binance reported strong financial results in 2020 amid growing interest in trading of Bitcoin and other cryptocurrencies.
The company reported a $3.88 billion average trading volume in 2020, up 36% YOY. The exchange listed 184 tokens in
2020 and the total number of trading pairs on Binance increased to 591 in 2020.
Binance has been taking number of measures to enhance its presence and increase its user base. In March 2021,
Binance announced adding CashU and MoneyGram to its payment methods for buying and selling crypto for Arab
countries. The users are allowed to trade cryptocurrencies and money transfer via the above e-wallets.
9. Bitstamp
Website: www.bitstamp.net
Founded in 2011 and based in Luxembourg, Bitstamp is the world’s longest standing Bitcoin exchange. It is ideally
suited for both beginners and experienced traders. It allows users to trade Bitcoin (BTC), XRP, ether (ETH), litecoin
(LTC), and Bitcoin cash (BCH) with each other and against fiat currencies (USD, EUR, GBP). It also lets customers
deposit and withdraw fiat currencies using their credit and debit cards.
Key Features
High liquidity: Bitstamp offers high liquidity to traders across a range of cryptocurrency pairs.
Regulated: It is the first fully licensed European cryptocurrency exchange which is allowed to do business in all 28 EU
countries.
Convenient mobile app: Bitstamp supports mobile app for both Android and iOS users.
Easy to use: Bitstamp offers a very simple to use interface, which makes it easy to buy and sell crypto even for a beginner.

Leading Players
10. Bittrex
Website: www.bittrex.com
Based in the USA, Bittrex is one of the leading cryptocurrency trading platforms globally. The exchange charges a 0.25%
commission for all trades. The exchange supports extensive range of cryptocurrencies, including both established as
well as emerging ones. The exchange supports more than 200 currencies.
Bittrex is considered one of the most secured platforms. Members of the Bittrex team collectively bring more than 50
years’ experience in cybersecurity and development from firms such as Microsoft and Qualys.
Bittrex also holds a controlling strategic stake in Seed CX Ltd. Seed is a Chicago-based financial platform that offers spot
and derivative trading as well as a settlement platform for institutional crypto trading.
Key Features
Security: Bittrex employs the most reliable security technologies available. It leverages an elastic multi-stage wallet
strategy ensuring that 80-90% of funds are offline and safe. Additionally, two-factor authentication is required for all
withdrawals and API usage.
Trading engine: offers fast execution of trades. The Bittrex platform processes and executes orders as soon as they are
placed.
Fast deposits and withdrawals: allows fast transactions including updates on balance, trade, and wallet information.

Industry
Overview
Bitcoin – The New Mode of Payment

Cryptocurrency is a digital or virtual currency that works as a medium of exchange. It uses encryption techniques
(cryptography) to secure and verify transactions as well control the creation of new units. Unlike traditional currencies,
cryptocurrency operates without central authority or banks and is not backed by any government. Cryptocurrencies
have soared in popularity amid the COVID-19 pandemic. The primary advantages of cryptocurrencies include:
Easy and fast payment: One of the primary advantage of cryptocurrencies is the ease and speed of transactions. One
just needs to know the wallet address of a person or organization to whom to transfer money and payment transfer
can take place in a matter of seconds.
Secure and anonymous: The use of encryption techniques ensures that transactions generally remain secure. Also,
anonymity is guaranteed as owners are identified by a private key not any name.
Low cost: Cryptocurrencies offers lower fees or costs, especially those associated with global transactions, and
reduced administration and transaction fees. Lastly, there is no need of any financial intermediary which is one of the
reasons for lower cost.
Some of the common cryptocurrencies are Bitcoin, Ethereum, Ripple, Litecoin and IOTA. Bitcoin was the first
cryptocurrency and was founded in January 2009 by Satoshi Nakamoto. There are currently more than 8200 different
types in existence today with an aggregate market cap of approximately $1 trillion. However, Bitcoin remains the clear
leader both in terms of market capitalisation and usage despite the rising interest in other cryptocurrencies. Bitcoin is
also the cryptocurrency that is supported and used by the overwhelming majority of wallets, exchanges and payment
service providers.
Citibank estimates that the price of the Bitcoin could hit the $3,18,000 mark by December 2021. This will mean a
7x growth from the current level of around $44,000. J P Morgan is also bullish on the Bitcoin but has a relatively
conservative target of $146,000 for the Bitcoin price over the long-term.
Whether Bitcoin could touch such lofty price levels remains to be seen, but its acceptance is rising globally as many
major companies have endorsed their support for it.
Blockchain – The Key Technology Behind Cryptocurrencies

Blockchain is the core technology behind many of the cryptocurrencies specifically Bitcoin. It is a decentralized public
ledger comprising a series of blocks containing all transactions in a given system that have ever been executed. Since it
is decentralized, a copy of records/transactions is available to all users and participants of the network.
The blockchain is constantly growing as new blocks are added to it. Each block which is added to the blockchain has
its own encrypted identity (hash) and is visible to each user in the network. As each block has its own visible encryption,
this makes it impossible for manipulators/hackers to gain access and alter the code in one block, as each alteration is
easily visible. The blockchain thus stands as a tamper-proof record of all transactions on the network, accessible to all
participants.
The decentralized nature of blockchain eliminates the need for central authorities such as banks as well as trusted
intermediaries such as brokerage firms. This results in lower costs and enhanced efficiency. The two major advantages
of blockchain are security and trust.
Secure: It is designed in a way that makes it impossible to make changes to data without being noticed by others.
Trust: Since all participants have the copy of the records and can detect any tampering, the records can be trusted.

Industry Overview
Figure 3: How Blockchain Works
Source: Investopedia
The blockchain technology is likely to impact and disrupt industries ranging from financial services, manufacturing,
healthcare, utilities to name a few. According to Swiss bank UBS, the blockchain technology could add ~$330-$400
billion in economic value globally by 2027. Cisco expects blockchain market (in terms of revenue) to reach ~$10 billion
by 2021 and estimates that the blockchain has the potential to hold as much as 10% of the world’s GDP.
Source: PwC

Industry Overview
Cryptocurrency transactions are tracked by a publicly viewable distributed ledger known as “Blockchain”. Cryptocurrencies
are stored in a “digital wallet”, which exists either in the cloud or on a user’s computer. The wallet is a kind of virtual bank
account that allows users to send or receive cryptocurrencies, pay for goods or save their money.
Cryptocurrency receiving support from mainstream organizations and government

A growing number of large corporations have embraced Bitcoin. The latest company to support cryptocurrency is United
Wholesale Mortgage, the second-largest mortgage lender in the US. The company expects to accept Bitcoin by Q3
2021 and is looking to expand beyond Bitcoin into ether and other cryptocurrencies as well.
Other high profile organizations supporting cryptocurrencies in recent times include Tesla Inc., MicroStrategy, Square
Inc., PayPal, among many others. Tesla purchased US$1.5 billion worth of Bitcoin and also indicated that it would soon
accept the cryptocurrency as a means of payment for its products, but later said it wouldn’t do so due to Bitcoin’s huge
energy consumption and its adverse impact on the environment. Mastercard also announced that it would allow certain
cryptocurrencies on its network, and the nation’s oldest bank, BNY Mellon, unveiled a crypto unit to provide Bitcoin
services. In addition, the US city of Miami is trying to become a Bitcoin hub.
Some companies such as MicroStrategy and Square Inc have converted a part of their treasury into cryptocurrency.
Both the companies have been adding to their Bitcoin purchases. In August 2021, MicroStrategy purchased an
additional US$177 million worth of Bitcoin, raising the total number of Bitcoins it has accumulated to about 108,992
with a total purchase value of US$2.9 billion. In February 2021, Square Inc bought Bitcoins worth $170 million, taking
its total purchase value to nearly US$230 million. Square believes that cryptocurrency is an instrument of economic
empowerment and provides a way for the world to participate in a global monetary system.
In March 2021, PayPal introduced a new feature ‘Checkout with crypto’ which enables users to use crypto assets with
its 26 million merchant network. PayPal also owns the widely popular payment app Venmo which has more than 40
million active accounts, thereby further increasing the reach of Bitcoin and other cryptocurrencies to a larger user base.
Table: Publicly Traded Companies Holding Bitcoin (in US$)

Company Purchase Price ($) Number of Bitcoins Current Value ($)
MicroStrategy Inc. $2,918 million 108,992 $5,159 million
Tesla Inc. $1,500 million 43,200 $2,046 million
Galaxy Digital Holdings $134 million 16,402 $761 million
Square Inc. $220 million 8,027 $380 million
Marathon Patent Group $150 million 4,813 $223 million
Hut 8 Mining Corp $39.3 million 4,240 $201 million
Voyager Digital Ltd $7.9 million 1,239 $57 million
Riot Blockchain Inc. $7.2 million 1,175 $54.5 million
Coin Citadel Inc. $0.2 million 513 $23.8 million
Source: Bitcoin Treasuries

Policy and Regulatory
Environment
As the popularity of cryptocurrencies spreads across the globe, so too the need for regulations to govern them grows.
Currently, the regulatory framework is vague in many countries which remains a major risk for cryptocurrencies. Many
countries have not yet stated a clear policy stance which has added to volatility. Below we highlight the cryptocurrency
regulatory landscape across some of the major countries in the world.
South Korea: South Korean policymakers have been changing views on regulation very frequently which has
been adding to volatility in the markets. South Korea which was earlier expected to announce a tax framework on
cryptocurrency gains this year (2021), has now postponed it to January 2022. The government noted that the delay
will provide local crypto businesses more time to adapt to new tax laws. Under the new tax regime, investors in South
Korea will pay a 20% tax rate on crypto trading gains above 2.5 million won (US$2,260) per year.
Under the new law, crypto service providers will be required to use the real-name verification system and comply with
reporting requirements in line with the global cryptocurrency standards set by the Financial Action Task Force (FATF).
United States: The US is also trying to come up with a regulatory framework. In the US, regulation of crypto is
somewhat fragmented as it occurs at both the federal and state levels. At the federal level, there is no comprehensive
regulation. Different agencies have their own view on cryptocurrencies which has made it difficult to have a uniform
regulation.
In December 2020, the US Treasury Department announced new rules for cryptocurrencies. The new rule would
require banks and other institutions to obtain and report the identities of parties engaging in digital transactions using
private wallets.
Despite a reluctance on the part of the US federal government, the Ohio state government announced that it would
start accepting Bitcoin payments for 23 kinds of business taxes making it the first state in the US to do so. In August
2020, New York gave green light for the trading of eight crypto assets in the state. The eight cryptocurrencies are
binance USD (BUSD), Bitcoin (BTC), Bitcoin cash (BCH), ethereum (ETH), gemini dollar (GUSD), litecoin (LTC), pax gold
(PAXG) and paxos standard (PAX).
European Union: The EU does not have a clear regulatory framework. A report by the European Parliament
Committee on Economic and Monetary Affairs stated the possibility for cryptocurrencies to function as an alternative
to fiat currency in a variety of different applications. The EU report identified cryptocurrencies such as Bitcoin as a
hugely disruptive and innovative application of blockchain technology.
However, EU policymakers stated that they will wait for the results of an in-depth analysis of the cryptocurrency market
and the impact of blockchain technology currently being conducted by European authorities before moving forward
with regulatory responses.
China: The country has taken a harsh stand on cryptocurrencies. The People’s Bank of China (PBOC) has banned ICOs
and cryptocurrency exchanges. However, China’s central bank has launched a pilot program to try its state-issued
digital currency.
Japan: Japan has one of the most progressive regulations for cryptocurrencies and exchanges. The country accepts
cryptocurrencies as a payment source. The cryptocurrencies exchanges are also legal in the country.

Market Trends
Bitcoin Futures Gain Popularity

The launch of Bitcoin futures at various exchanges including Chicago Mercantile Exchange (CME), Chicago Board
Options Exchange (CBOE), Bakkt has led to more mainstream participation in cryptocurrencies market. The CME has
recorded significant volume for its Bitcoin futures product in 2020. It noted that more than 2.2 million contracts were
traded in 2020.
According to data from skew.com, a crypto analytics platform, CME was the fourth largest Bitcoin futures trading platform
with a share of 11% (or US$1.91 billion) of the total US$17.2 billion open interest in Bitcoin as of 26 August 2021.
CME has been seeing a continued rise in institutional participation. Banking giant Citigroup is awaiting regulatory
approval to begin trading Bitcoin futures contracts on the Chicago Mercantile Exchange (CME). CME also launched
micro-Bitcoin futures in May 2021 which are worth one-tenth of a Bitcoin, versus the regular contract worth five Bitcoins.
These are aimed at smaller, sophisticated and active traders. CME noted that due to the increasing demand and the
significant growth of its Bitcoin futures contracts over the last year, the firm decided to provide its clients with a new
financial instrument. It launched Ethereum (ETH) based futures product on 8 February 2021 under the symbol ETH1.
Figure 2: Bitcoin Futures Open Interest (US$ bn)
Source: skew.com
Governments Globally Launching Digital Currencies

Governments globally have realized the need to launch their own digital currencies in order to counter threat from
rising popularity of private digital currencies such as Bitcoin. A central bank digital currency (CBDC) is backed by the
government unlike Bitcoin and others. Most of the world’s major central banks are either actively developing CBDCs or
at least researching them.

Market Trends
China’s central bank has launched a pilot program to try its state-issued digital currency. Several pilot programs to
try the digital yuan have already been completed in various parts of the country. The PBOC has been testing digital
yuan aggressively in China since October 2020. It has sent out over 150 billion yuan ($23.2 billion) to tens of millions
of people in Shenzhen, Suzhou, Beijing, and Chengdu through various public trials. More trials are expected going
forward.
China’s central bank has also launched a cross-border digital currency pilot project with the central banks of Thailand,
the United Arab Emirates, and Hong Kong in a major push to globalize the digital yuan. Although there is no official
timetable for the launch of China’s sovereign digital currency, economic planners are reportedly aiming to implement
the digital yuan ahead of the 2022 Winter Olympics in Beijing.
South Korea also announced its plan to launch a digital currency. The Bank of Korea (BOK) is set to begin a pilot
program to examine the feasibility of a retail central-bank digital currency (CBDC). The pilot will be conducted in two
phases, the first of which will run for the rest of 2021 and the second phase will run through June 2022. Japan has
moved along the same line and announced its own plans to launch a digital Yen. The project is in nascent stage now.
Europe has joined in the digital currency race as well with European Central Bank (ECB) announcing plans to introduce
a digital Euro. The European Central Bank said in September 2020 that it would start experimenting with a digital
version of the euro while holding a public consultation. This could be a major step toward embracing the digital asset
technology.
In October 2020, the Bank of Russia said it was exploring the possibilities of issuing the central bank digital currency
(CBDC), a digital ruble. The bank will hold a public consultation period on the matter. The bank said it does not see
the digital ruble as a replacement for cash, but as a supplement.
Digital Currency Progress Map Worldwide
Source: Atlantic Council
Rising Institutional Demand

There has been a significant increase in the institutional adoption of cryptocurrencies over the last 12 months or so.
CME noted that more than 7,000 unique client accounts of all types have traded Bitcoin futures and there are more
institutions in the pipeline. Arcane Research in its recent report highlighted the speedy adoption of cryptocurrencies
by institutions from corporates to hedge funds, to major investment banks. Most of the biggest names on Wall Street
have now announced plans to offer their clients access to cryptocurrencies.

Market Trends
CME’s fully-regulated Bitcoin futures has grown significantly over the past 12 months. On average, more than US$2.6
billion worth of Bitcoin futures were traded daily on CME in May 2021 (versus just $200 million at the beginning of
2020). These contracts are only available for institutional investors and show the heightened enthusiasm for Bitcoins
from institutional clients.
The entry of large financial institutions such as BNY Mellon, Standard Chartered, and Northern Trust into the Bitcoin
custody market is likely to further push institutional adoption. The lack of trusted custodians was one of the main
hurdles for institutional participation.
Number of established financial players have gained exposure to the crypto industry through their investment
portfolios. These include Goldman Sachs investing into digital asset financial services firm BitGo, Visa investing in
crypto platform Anchorage, Boston Consulting Group making an investment in digital asset marketplace Bakkt, and
BNY Mellon injecting funds into digital asset security platform Fireblocks. Arcane Research notes that institutional
players such as asset managers, hedge funds and banks are likely to dominate Bitcoin trading volume in the next three
years.
CryptoCompare noted that AUM of all crypto exchange traded products (ETP) was ~US$54.8 billion as of the end
of August 2021, up more than 150% since mid-December 2020. The rising ETP activity is perhaps the best signal of
institutional investor demand as these products are often used by them to gain exposure to digital assets. The data
paints a clear picture of increasing institutional investor demand.

Market Outlook
Cryptocurrency Expected to Become More Mainstream

Cryptocurrencies are moving closer to becoming mainstream as governments and companies show increasing
willingness to adopt it. This is evident in the price movement of Bitcoin as well as some of the recent events which
validate the view that cryptocurrencies will become a mainstream investment and payment vehicle.
Bitcoin broke through the US$20,000 mark for the first time in mid-December 2020 and hit an all-time high of more
than US$64,000 in April 2021. This has renewed consumer interest in the entire cryptocurrency space, with tokens like
Ethereum also benefitting (up more than 326% year to date).
With more and more companies starting to accept Bitcoin such as PayPal Holdings, Visa and MasterCard, the token is
likely to gain wider acceptance. The purchase of Bitcoin by mainstream firms such as Tesla Inc., MicroStrategy, Square
Inc. have lent more legitimacy to the cryptocurrency, although Tesla has since said it will no longer accept Bitcoin due
to its adverse impact on the environment.
There are several reasons for the surge in cryptocurrency adoption. The primary is the massive amount of money
printed by central banks globally which has led to the belief that Bitcoin and other digital assets could offer a possible
hedge against a burst of inflation and the depreciation of traditional currencies.
bitFlyer, a cryptocurrency exchange conducted a survey in February 2021 which also suggests positive perception
about cryptocurrencies among normal public. Many respondents of the survey highlighted crypto’s value propositions
and believe in its long-term value.
Even so, as the world continues to embrace cryptocurrencies, there are still quite a few sceptics who argue that it is
more hype than substance. Bank of Canada is crypto-sceptic and have openly stated that cryptocurrencies such as
Bitcoin are unlikely to become the money of the future. The Bank of Canada is not the only skeptic. Swiss banking
giant UBS Group has also expressed their concerns on cryptocurrencies as a medium of exchange citing their extreme
volatility.
Volatility in its prices is one of the main arguments put against cryptocurrency becoming a mainstream currency.
Bitcoin’s price volatility since its inception in 2009 has been very high. In February 2021, JP Morgan highlighted
that Bitcoin’s three-month realised volatility was 87%, compared to just 16% for gold. Also, limited supply of Bitcoin
(fixed at 21 million) goes against it. A mainstream currency should be able to undergo expansion when circumstances
demand it.

Report Scope &
Methodology
This report looks at the global cryptocurrency industry. Cryptocurrency is a digital asset designed to work as a
medium of exchange. The cryptocurrencies are typically decentralized as opposed to centralized digital currency and
centralized banking systems.
Cryptocurrencies form part of an emerging industry and it is for this reason that existing industrial classifications
systems such as the Standard Industrial Classification (SIC) system and the North American Industry Classification
System (NAICS) do not have specific codes for companies in this sector.
Acquisdata’s proprietary industry classification system (AIC) categorizes cryptocurrency companies as 4.9.3
(Cybersecurity Software).
The scope of this report extends to the top cryptocurrencies and cryptocurrency exchanges. Cryptocurrencies
are the digital tokens, while cryptocurrency exchanges provide a trading platform for investors to buy or sell
the cryptocurrencies. In order to provide a broad view of the industry, the report examines not only examines
cryptocurrency tokens and exchange platform but also covers few companies that are involved in cryptocurrency
related businesses.
To create our reports, research analysts draw on a range of primary and secondary data and information sources to
form the basis of analysis. Primary sources include data provided by government, international organizations, industry
associations, companies operating in the industry and reported fundamental data. Secondary sources include credible
industry publications and private research organizations.

Key References
Federal Reserve Bank

A Federal Reserve Bank is a regional bank of the Federal Reserve System, the central banking system of the United
States. It is responsible for implementing the monetary policy.
https://www.federalreserve.gov/aboutthefed.htm
CoinMarketCap
CoinMarketCap provides access to cryptocurrency prices, market cap, exchange markets, coin details, charts, crypto
news and alerts on over 1000 cryptocurrencies including Bitcoin, Ethereum, Iota, Ripple and many more.
https://www.coinmarketcap.com/
CryptoCompare
CryptoCompare is a leading website which provides data and analysis of leading cryptocurrencies and exchanges.
http://www.cryptocompare.com/
Bitcoin Foundation
The Bitcoin Foundation is a non-profit organization aiming to make Bitcoin a globally accepted method of exchanging
and storing value.
https://www.Bitcoinfoundation.org/
Crunchbase
Crunchbase is the destination for learning about companies, discovering investments and industry trends, and finding
news about hundreds of thousands of public and private companies globally.
https://www.crunchbase.com/
CoinDesk
CoinDesk is the media platform exploring how cryptocurrencies and digital assets are contributing to the evolution of
the global financial system.
https://www.coindesk.com/about
Security and Exchange Commission

The US Securities and Exchange Commission (SEC) is an independent federal government regulatory agency
responsible for protecting investors, maintaining fair and orderly functioning of the securities markets.
https://www.sec.gov/
European Commission
The European Commission is the executive branch of the European Union, responsible for proposing legislation and
implementing decisions.
https://ec.europa.eu/info/index_en
European Central Bank (ECB)

The ECB is the central bank of the 19 European Union countries which use the euro. Its main task is to set interest rate
and maintain price stability.
https://www.ecb.europa.eu/ecb/html/index.en.html
European Blockchain Partnership

The European Blockchain Partnership (EBP) is an initiative to develop an EU strategy on blockchain and build a
blockchain infrastructure for public services.
https://ec.europa.eu/digital-single-market/en/european-blockchain-partnership-0

www.acquisdata.com
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Cryptocurrency

Global August 2021

Report Summary Table of Contents

• Despite the growing adoption of cryptocurrencies, scepticism around their

Table: Top Cryptocurrencies – Year to Date 2021 Price Performance

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Contact Details customer@acquisdata.com

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Rising Interest in Cryptocurrencies

Table: Bitcoin Outperformed Nasdaq Over the Last 12 Months

Source: Yahoo Finance

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Clear Regulations Needed

High Volatility and Low Liquidity

Table: Bitcoin Volatility Index

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Cryptocurrencies – Are They a Speculative Bubble or Opportunity?

Table: Bitcoin – Prices have Corrected

Source: Yahoo Finance

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Table: Bitcoin vs. Ethereum – 12 Month Price Performance

Source: Yahoo Finance

Table: Bloomberg Galaxy Crypto Index

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Table: Top Cryptocurrency Mining Stock Rises

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Table: Price Chart YTD

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Table: Price Chart YTD

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Table: Price Chart YTD

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Table: Price Chart YTD

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Table: Price Chart YTD

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Table: Price Chart YTD

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Table: Price Chart YTD

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8: Binance Coin (BNB)

Table: Price Chart YTD

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Table: Theta Video Streaming Decentralized Delivery

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10: Uniswap (UNI)

Table: Price Chart YTD

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LEADING CRYPTOCURRENCY EXCHANGES

Table: Coinbase Delivering Record Trading Volumes

Retail 11 18 32 120 145

Institutional 17 27 57 215 317

Total 28 45 89 335 462

TRADING VOLUME (% OF TOTAL) Q2’20 Q3’20 Q4’20 Q1’21 Q2’21

Other crypto assets 28 50 48 40 50

Total 100 100 100 100 100

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Futures trading: It offers futures trading via its lightning platform.

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Table: Trading Volume of Bitcoin on Bithumb

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