Cryptocurrency has become more accessible than ever before, but it seems that most Americans are still hesitant to jump on the bandwagon. According to a recent Gallup survey, only 14% of U.S. adults currently own cryptocurrency. While this number has been steadily increasing, it still represents a small portion of the investing population.
The survey, conducted in mid-June, uncovered a significant amount of skepticism surrounding cryptocurrencies. A whopping 60% of respondents expressed no interest in ever purchasing cryptocurrency, with only 17% admitting to being intrigued by the digital asset. Additionally, a mere 4% of participants said they plan on buying crypto in the near future.
Interestingly, the study also revealed that among U.S. investors with more than $10,000 in traditional investments like stocks, bonds, or mutual funds, 55% considered cryptocurrency to be “very risky.” Despite this perception of risk, ownership rates have surged from 2% in 2018 to 17% today.
This skepticism is not unexpected, given the rollercoaster ride that the cryptocurrency market has been on in recent years. While the 2021 bull run brought crypto into the mainstream and sparked a surge in interest, the subsequent crypto winter saw many high-profile bankruptcies, scams, and exploits that left retail investors wary.
Although institutional investors have since entered the market, lending it more credibility, many retail investors are still wary after their past experiences with losses. Four years ago, only 6% of U.S. investors owned cryptocurrency, a number that has since increased but may still be conservative compared to a Federal Reserve survey that found 12% ownership among U.S. investors.
When it comes to demographics, the survey found a significant divide in ownership. While one in four men aged 18 to 49 own cryptocurrency, ownership drops significantly among women and older adults. College graduates and high-income earners are more likely to participate in the market, while seniors and low-income households are largely absent.
Despite the widespread awareness of cryptocurrency, there are still significant knowledge gaps among the general population. While nearly everyone surveyed had heard of cryptocurrency, only 35% claimed to understand how it works. Familiarity was highest among younger men and wealthier individuals.
Even among those who claim to understand cryptocurrency, the majority still view it as a risky investment. Among U.S. investors, 64% consider cryptocurrency to be “very risky,” up from 60% in 2021.
Overall, the survey found that only about one in seven Americans own cryptocurrency, with nearly six in 10 owning stocks or real estate. Only 4% of adults believe that cryptocurrency is the best long-term investment option.