November 2024 weekly crypto trade volumes in Europe hit €12B, driven by Bitcoin’s $100K milestone as well as surging institutional demand.

In 2024, euro-backed stablecoins emerged as a significant growth engine in the European cryptocurrency sector, aided by the Markets in Crypto-Assets Regulation (MiCA). These tokens have set new monthly volume records after drawing liquidity and institutional investors from throughout the region.

MiCA Spurs Euro-Backed Stablecoin Adoption

Monthly volumes for euro-backed stablecoins reached a multiyear high in November, at roughly €800 million. According to the most recent data from research firm Kaiko and Netherlands-based crypto exchange Bitvavo, this dramatic surge is mostly due to Banking Circle’s EURI stablecoin, which acquired substantial traction after being launched on Binance.

Other MiCA-compliant stablecoins, such as fintech firm Circle’s EURC and Société Générale’s EURCV, also contributed to the increase, accounting for 91% of the euro-backed stablecoin market by the end of the year.

The regulatory clarity given by MiCA, which went into force in June, has been critical in instilling investor confidence, boosting liquidity, and recruiting institutional participants to the market. However, Tether’s decision to suspend support for its euro-backed stablecoin, EURT, citing regulatory concerns, emphasizes

Explosive Growth in European Crypto Markets

Zooming out, the larger European cryptocurrency market enjoyed dramatic growth in 2024, with euro-denominated trade volumes reaching new heights. Weekly transaction volumes in November alone exceeded €12 billion, more than tripling those in October, as Bitcoin hit an all-time high of more than $100,000.

The euro reinforced its position as the third most traded fiat currency in global crypto markets, trailing only the US dollar and the Korean won, while its proportion of Bitcoin-fiat trading increased from 3.6% to over 10%. This increase is due to improved regulatory conditions and the growing institutionalization of Bitcoin.

European exchanges including Bitvavo, Kraken, and Coinbase played important roles, with Bitvavo leading in euro-denominated trading volumes, accounting for roughly half of the market.

These platforms dramatically increased their capabilities, listing over 331 additional euro-denominated pairs in 2024 to satisfy rising demand. Liquidity in euro markets also increased significantly, with the total 1% market depth for euro-denominated pairs doubling by November. 

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