Cryptocurrencies have had a fantastic year, driven by Bitcoin`s price rally and a huge interest in digital assets from mainstream investors. All major digital coins have seen double and triple-digit price growth, while the stocks of crypto companies jumped high above the levels seen in 2022.
The optimistic investor sentiment drove a lot of trading activity in the market, helping crypto exchanges to more than double their revenues to $40,7-billion. The positive movement is set to continue in 2024.
According to data from Stocklytics.com, crypto exchanges are expected to gross over $50-billion this year, or 25% more than in 2023.
Before 2022, crypto exchanges, crypto trading platforms, and crypto banks have seen their revenues skyrocket, driven by the surging crypto adoption and heavyweight institutions embracing digital assets.
According to a Statista survey, revenues jumped 22 times between 2017 and 2021, rising from $1,6-billion to $35,5-billion. In 2020 and 2021, revenues spiked by more than 300% year-over-year, which seemed unreal just a year later.
Amid the bear market of 2022, the global revenue of crypto exchanges, crypto banks, and trading platforms plunged by 43% to $20,1-billion, the worst drop in the market`s history. However, 2023 marked a turning point, despite challenging economic conditions and significant headwinds in the crypto space.
During the last 12 months, global crypto revenues spiked by 102% and hit $40,7-billion, returning the market where it was before the 2022 slump. Although 2024 is expected to see only one-fifth of the growth seen last year, global revenue of crypto exchanges, crypto banks, and trading platforms will still grow by more than $10-billionn and hit $51,5-billion.
The Statista data also show that all major crypto markets will see double-digit revenue growth this year. The US crypto exchanges will see their revenues grow by 29% to $23-billion, making 44% of this year`s total. Statistics show the UK market will grow even more, with crypto revenues jumping by 30% to $2,5-billion. Russia, Japan, and Germany follow with 21%, 20%, and 18% year-over-year growth rates and around $2-billion in crypto revenues each.
Besides a double-digit revenue growth, the crypto space is expected to see a huge number of new users this year. Last year, over 670-million people worldwide used cryptocurrencies, almost 250-million more than in 2022.
Statista expects over 160-million people to join the crypto space in 2024, pushing the total user count in the market to 833,7-million. The upward trend will continue in the following years, with the global crypto market reaching almost 1-billion users by 2028.