The Bitcoin Market Potential Index
- Cite this paper as:
- Hileman G. (2015) The Bitcoin Market Potential Index. In: Brenner M., Christin N., Johnson B., Rohloff K. (eds) Financial Cryptography and Data Security. FC 2015. Lecture Notes in Computer Science, vol 8976. Springer, Berlin, Heidelberg
The Bitcoin Market Potential Index (BMPI) is a new composite indicator that conceptualizes and ranks the potential utility of bitcoin across 178 countries to show which countries have the most and least potential to see bitcoin adoption. The index utilizes a data set with 40 variables grouped into the index’s seven equally weighted sub-indices: technology penetration, international remittances, inflation, size of informal economy, financial repression, historical financial crises, and bitcoin penetration. Data across the different BMPI variables were first standardized as follows.