A small ex-Soviet republic has managed to gain a leading position in the cryptocurrency market. According to the World Bank, alost 5% of Georgians bought or mined cryptocurrencies.

Georgia is among the regional leaders in adopting innovative technologies and cryptocurrencies, says the latest World Bank's report called "Cryptocurrencies and Blockchain: Economic Report for Europe and Central Asia (ECA) 2018", Forbes Georgia writes citing the document.

Economic growth in European and Central Asian countries stands at its peak, gaining 2.7% in 2017 and forecasted at 2.3% in 2018. Such countries as Georgia may use new digital technologies to improve services and make them more innovative, the survey reads.

In addition, according to the research, Georgia is the third largest producer of cryptocurrencies in the world.

Approximately 5 percent of households in Georgia are involved in buy and sell operations or investments in cryptocurrencies, it says.

"Many European and Central Asian countries have proven to be fertile ground for the development of cryptocurrencies and blockchain technology," says Hans Hans Timmer, the World Bank's chief economist.

"For example, in Georgia, cryptocurrency mining is a widespread experience that is largely conditioned by tax benefits and low cost of electricity," he added.

Over time, it will be important for the national government to ensure financial control and provide security for customers, Timmer believes.

According to the report, economic growth in Europe and Central Asia is the fastest in the decade. However, reduced unemployment and rising inflation indicate that growth is likely to hamper the progress of the region.