London has taken the top spot as the world’s leading hub for cryptocurrencies, according to a recent study from Recap, a cryptocurrency tax software firm. The research, which was released on Jan. 25, 2023, analyzed eight key indicators including the number of cryptocurrency businesses, the quantity of cryptocurrency ATMs, and the number of people employed in the cryptocurrency industry.
Recap’s Study of Global Cryptocurrency Hubs
The report from Recap details that London leads the world in the number of people employed in the cryptocurrency industry, with over 800 cryptocurrency-based companies in the city. In 2022, London also hosted the second-highest number of cryptocurrency-related events and conferences. The report attributes London’s success as a hub to U.K. Prime Minister Rishi Sunak’s goal of establishing the United Kingdom as the world’s hub for cryptocurrency technology and investment.
Dubai, the largest city in the United Arab Emirates, takes the second spot on the list, attracting cryptocurrency investors with its 0% tax rate. Dubai is home to 772 cryptocurrency-based companies. New York, with 843 firms specializing in cryptocurrency and blockchain technology, is ranked third. The city is also home to the largest investment in cryptocurrency research and development.
Recap CEO Comments on the Study
Daniel Howitt, co-founder and CEO of Recap, commented on the study’s results, stating that “crypto assets have grown massively over the past few years and are becoming increasingly interlinked with the regulated financial markets. The fact that so many cities are embracing it is a positive sign.” He added that London being named the world’s leading crypto hub is good news for the U.K.’s plans to become a global hub for crypto-asset technology and investment.
Other cities ranked in the top ten include Singapore, Los Angeles, Zug, Hong Kong, Paris, Vancouver, and Bangkok. According to Recap’s researchers, these cities made the list due to factors such as low capital gains tax, high volumes of cryptocurrency ATMs, and the number of people in the crypto field. Interestingly, the researchers noted that San Salvador in El Salvador ranked 41st with only ten people working in crypto-based jobs, but it is the only place where bitcoinis considered a legal tender and can be used like currency.
In conclusion, the study from Recap highlights the growing importance of cryptocurrencies and the growing number of cities embracing the technology. London, Dubai, and New York lead the way as the world’s top cryptocurrency hubs, with a range of factors contributing to their success.