The Bank for International Settlements (BIS) has found that cross-border cryptocurrency volumes peaked in 2021, exceeding $2.6 trillion. Notably, stablecoins accounted for nearly half of that total.
BIS analysts published a report examining the key drivers of cross-border financial flows involving BTC, ETH, and the stablecoins USDT and USDC between 2017 and 2024. The data show that the largest volume of international transactions using these assets occurred in 2021, amounting to roughly 12% of global trade in value terms.
In 2022, the volume of cross-border cryptocurrency transfers declined to approximately $1.6 trillion. In 2023, it rebounded to $1.8 trillion, and the first half of 2024 showed further growth, with crypto-based cross-border flows reaching $1.2 trillion over the period.
According to the report, the key cryptocurrency hubs are the United States and the United Kingdom, as well as major emerging markets such as India, Indonesia, and Turkey. The U.S. and U.K. dominate in flows involving BTC, ETH, and USDC, while users in emerging markets tend to favor USDT.
The BIS study is based on unique bilateral data covering 184 countries and applies a gravity model typically used to analyze drivers of international trade.
Key findings of the report include the following:
- Speculative motives and global liquidity conditions — particularly the volatility index (VIX) and U.S. dollar credit spreads — have a strong influence on BTC and ETH flows.
- Rising inflation tends to increase cryptocurrency transaction volumes, especially those involving stablecoins.
- Physical distance and language barriers have little to no effect on crypto flows, in contrast to traditional banking channels.
Additionally, BIS analysts concluded that capital flow management measures (CFMs) are largely ineffective. In some cases, stricter CFMs were even associated with an increase in crypto transfers, suggesting that cryptoassets may be used to circumvent capital controls. In a sample of emerging market economies, BTC flows increased by up to 25% following tighter CFM policies.
The report also highlights the growing relevance of small-value transfers using stablecoins and Bitcoin. In the first quarter of 2024 alone, cross-border BTC transactions under $500 totaled approximately $250 million. In certain corridors, higher fees in traditional remittance systems were associated with a 20–25% rise in crypto-based transfers, underscoring their appeal as a low-cost alternative for cross-border payments.
It is worth noting in this context that Max Krupyshev, CEO of CoinsPaid , previously predicted that cryptocurrencies would become the foundation of global finance by 2025. “The adoption curve is shifting — what was once seen as an alternative is now becoming a necessity. Seamless, low-cost, and fast transactions are no longer a benefit; they are an expectation,” Krupyshev noted .
