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A primer on bitcoin cross-border flows: Measurement and drivers

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  • Cerutti, Eugenio
  • Chen, Jiaqian
  • Hengge, Martina

Abstract

The rapid growth of crypto assets raises important questions about their cross-border usage. To gain a better understanding of cross-border Bitcoin flows, we use raw data covering both on-chain (on the Bitcoin blockchain) and off-chain (outside the Bitcoin blockchain) transactions globally. We provide a detailed description of available methodologies and datasets, and discuss the crucial assumptions behind the quantification of cross-border flows. We then present novel stylized facts about Bitcoin cross-border flows and study their global and domestic drivers. Bitcoin cross-border flows respond differently than capital flows to traditional drivers of capital flows, and differences appear between on-chain and off-chain Bitcoin cross-border flows. Off-chain cross-border flows seem correlated with incentives to avoid capital flow restrictions.

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  • Cerutti, Eugenio & Chen, Jiaqian & Hengge, Martina, 2025. "A primer on bitcoin cross-border flows: Measurement and drivers," Journal of International Money and Finance, Elsevier, vol. 159(C).
    • Handle: RePEc:eee:jimfin:v:159:y:2025:i:c:s0261560625001597
    DOI: 10.1016/j.jimonfin.2025.103424
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    2. Ciaian Pavel & Kancs d’Artis & Rajcaniova Miroslava, 2026. "On- and Off-Chain Demand and Supply Drivers of Bitcoin Price," Economics - The Open-Access, Open-Assessment Journal, De Gruyter, vol. 20(1), pages 1-23.
    3. Stijn Claessens & Tara Rice, 2026. "Cross-border payment technologies: innovations and challenges," BIS Papers, Bank for International Settlements, number 167.
    4. Di Casola, Paola & Habib, Maurizio Michael & Tercero-Lucas, David, 2025. "Global and local drivers of Bitcoin trading vis-à-vis fiat currencies," Journal of International Money and Finance, Elsevier, vol. 158(C).

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    JEL classification:

    • E42 - Macroeconomics and Monetary Economics - - Money and Interest Rates - - - Monetary Systems; Standards; Regimes; Government and the Monetary System
    • E51 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Money Supply; Credit; Money Multipliers
    • E58 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Central Banks and Their Policies
    • F21 - International Economics - - International Factor Movements and International Business - - - International Investment; Long-Term Capital Movements
    • F32 - International Economics - - International Finance - - - Current Account Adjustment; Short-term Capital Movements
    • F38 - International Economics - - International Finance - - - International Financial Policy: Financial Transactions Tax; Capital Controls

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