Taking a look at the available information as regards each country’s Bitcoin trading volume, it’s surprising to realize some discrepancies in the report presented.
The reason is not far-fetched since it is quite impossible to capture every factor comprising such an analytical report. It’s been a herculean task for statisticians to compute the actual trading volumes.
Taking a look at a report made in the year 2018 which is oftentimes referred to by experts, a study conducted on the raw data used, however, preponderates the mind as to how the answers were derived rather than solving the issues raised.
One is the relevance of the basic data of the report, it seems to be fading fast into oblivion. Higher ranking countries like Japan and Korea were nowhere to be found, even China ranked low. The Localbitcoins report fell short in relevance outside its circles by ignoring OTC trading information. Bearing in mind that it may be hard to gather every available OTC trading information, the best source that comes handy at this point is exchange. However, the limitation of exchange is that so much country related information may not be derived from it. An approach of calculating the number of different fiat currencies used to trade bitcoin has been generating many results. It is purely exchange based removing OTC trading information. It only takes into consideration fiat-to-Bitcoin transactions and vice versa.
Now this answers the question of why China was nowhere to be found, this is because OTC information was excluded from the report gathered. China doesn’t use exchanges, therefore it’s so hard to derive its actual trading volumes. China should have ranked higher than in other countries listed.
Usd Ranked First, While Japanese Yen Ranked Second
Putting in mind that bitcoin trading is through currency, a graph is more representative than the report presented. However, it may not favor countries that are known to be heavy OTC traders such as Venezuela and Russia as it gives a pictorial view of the real situation approximately.
The advice here is not to rely on the information presented on bitcoin trading volumes. It’s best to use past trading volume data with discretion because it’s hard to get the most reliable information. You can, however, work with relevant exchange data and merge it with available OTC Trading information to achieve a meaningful report.