European Crypto Market Sees Significant Growth Amid Regulatory Changes

According to PANews, the latest "2025 Crypto Geography Report" by Chainalysis reveals that Europe's overall crypto transaction volume reached a peak of $234 billion in December 2024, following a mid-year correction. This trend continued into the first half of 2025, indicating a mature market with active institutional participation and widespread retail adoption. Russia led the European market with a transaction volume of $376 billion, followed by the United Kingdom at $273 billion and Germany at $219 billion. Germany experienced a 54% annual increase, benefiting from the implementation of MiCA regulations and the entry of financial institutions. Poland and Ukraine also saw significant growth, with increases of 51% and 52%, respectively, highlighting the vibrancy of grassroots adoption and remittances. The implementation of MiCA over the past ten months has facilitated Europe's transition from fragmented regulation to a unified framework. During this period, Circle's euro stablecoin EURC grew by 2727%, surpassing USDT as the mainstream regulated stablecoin. The European Securities and Markets Authority (ESMA) has registered 15 electronic money token issuers, managing 25 single-currency stablecoins. The report notes an unusual trend in the European market, where larger volumes correlate with faster growth, suggesting that the crypto ecosystem is in an accelerated phase of the S-curve, driven by network effects and market expansion. The UK market has shifted towards DeFi platforms, with retail funds moving to decentralized exchanges, while institutions continue to prefer centralized trading venues. Overall, the European crypto ecosystem is entering a new phase of concurrent regulation and innovation. MiCA has spurred the localization of stablecoins, DeFi usage has surged, and institutional involvement has deepened, enhancing Europe's position in the global crypto landscape.