In recent times, cryptocurrencies have been found to be one of the most discussed topics in the United States. Notably, amidst all the recent instances the investors’ confidence has also taken a hit.
According to a new survey by Pew Research, an analytics firm, the majority of Americans who are aware of cryptocurrencies consider the current methods to invest and interact with them “unsafe and unreliable.”
Cryptocurrencies have been found to remain an uncertain niche for the majority of US citizens and the recent events seem to have added to more distrust toward the industry among the average person. Data suggests that only 17% of American adults said they have invested in or used cryptocurrencies, marking a slight increase compared to August last year when the proportion was found to be 16%. Sources reveal the survey was conducted with over 10,701 participants in March.
The survey revealed that 88% of American adults confirmed that they had heard of cryptocurrencies, however, roughly 75% of them consider crypto investing and trading unsafe. Simultaneously, only 2% of adults in the US are extremely confident in crypto assets whereas only 4% are very confident, and adults somewhat confident in cryptocurrencies made up 18% of the participants involved.
In addition, the survey looked into the age groups of the participants and found it to be a significant factor. As per data, people aged above 50 are more likely to be skeptical of cryptocurrencies as about 85% of the people above 50 years of age considered crypto unreliable, compared to 66% of those under 50.
Notably, the survey also looked across different genders and found that young men as the predominant crypto user in the US. Data suggested that about 41% of men aged between 18 to 29 have invested, traded, or used cryptocurrencies whereas only 16% of women in the same age group answered similarly.
Overall, women are more skeptical of investing and trading in cryptocurrencies than men and 80% of women were not confident in crypto, compared to 71% of men.
Interestingly, racial diversity also had a part to play in one’s attitude toward crypto. The survey suggested that Asian, African American, and Hispanic adults are more likely to get involved in crypto than White adults. Reportedly, 24% of Asian adults have bought, traded, or used crypto, compared to 21% of African American and Hispanic adults and 14% of White adults.
According to the survey, people from upper and middle-income groups had more chances of investing in cryptocurrencies compared to lower-income groups. Data estimates that about 25% of upper and 19% of middle-income group adults had bought or traded cryptocurrencies compared to 10% or about one in ten from lower-income groups.
The vast majority of American adults who bought cryptocurrency still hold some covering for 69%, while 31% no longer hold any digital assets. Those from lower-income households are more likely to sell their holdings during times of stress, with 43% of such respondents no longer holding any crypto.
Almost half of the respondents (45%) said their crypto investments have performed worse than expected, while only 15% said they performed better than expected. However, for the majority of investors, about 60% said that crypto investments did not affect their personal finances negatively and roughly 20% said the investments helped their personal finances whereas 19% said they experienced a negative impact.
The United States has been known for leading the global crypto adoption rate and being more and more inquisitive toward assets. The survey portrays a new picture wherein a lot of investors have been put in a tight spot for a lot of reasons including the lack of regulation, the regulatory crackdown on exchanges as well as recent banking collapses.