Fed discovers increase in the adoption of Bitcoin in the US: 12% of the population has crypto – DiarioBitcoin

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Fed discovers increase in the adoption of Bitcoin in the US: 12% of the population has crypto - DiarioBitcoin For Hannah Perez

A study by the Federal Reserve (FED) found that the wealthiest Americans are the most likely to use cryptocurrencies. Most take advantage of them as investment tools, not payment.

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The number of people in the United States using cryptocurrency has been on the rise and most are part of the unbanked population, a recent survey suggests.

The US Federal Reserve (FED), the nation’s central bank, released its annual report that examines the financial lives of Americans, which for the first time included cryptocurrencies. This is the reportEconomic well-being of US households in 2021“, based on the results of a survey that was distributed among 11,000 inhabitants during October and November of last year.

The annual study evaluates a series of factors that seek to measure the economic health of consumers, including questions about income, types of work, taxes, bank credits and other data related to the spending and financial circumstances of citizens. The survey for the first time included questions about cryptocurrency ownership and adoption.

12% of Americans hold crypto

Data compiled by the FED revealed that by 2021, 12% of the adult population in the US owned or used digital currencies as Bitcoin. In general, the study suggests that the majority of cryptocurrency users are not so interested in using it as a payment mechanism; instead, they look to the new asset class as an investment vehicle.

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Of this group, 11% stated that they used cryptocurrencies as a form of investment, while the2% of adults said they had used cryptocurrency to buy something or make a payment in the previous 12 months, and 1% used it to send money to friends or familythe report stated.

Likewise, the research also found that users who turned to cryptocurrencies were twice as likely to be unbanked as people who did not use them at all. The FED publication notes:

The use of cryptocurrencies as an investment was much more common than the use for transactions or purchases. However, although transactional use of cryptocurrencies was low, those who used cryptocurrencies for purchases rather than investment often lacked traditional bank accounts and credit cards.

Adoption is seen among the richest

In this sense, the North American monetary authority found that the socioeconomic status of the population was also a factor in the trend of adopting digital assets. As such, adults with lower incomes are more likely to turn to crypto for transactional purposes, while those with higher incomes use it as an investment, the study found.

The 46% of those who used cryptocurrencies only to invest had an income of USD $100,000 or morewhile 29% had an income of less than $50,000“said the report. “In addition, the 99% of those who invested in cryptocurrencies, but did not use them for transactions, had a bank accountand 89% of non-retired crypto investors had at least some retirement savings“. The study further addresses this gap further:

Thirteen percent of those who used cryptocurrency for transactions lack a bank account, compared to 6 percent of adults who did not use cryptocurrency. Similarly, 27% of users of cryptocurrency for transactions do not have a credit card, surpassing the 17% of users who do not have a credit card.

Fed discovers increase in the adoption of Bitcoin in the US: 12% of the population has crypto - DiarioBitcoin
Cryptocurrency adoption among the unbanked, non-credit card, and non-retirement savings populations, in that order. Dark blue for those who do not use crypto assets, medium blue for those who use it for transactions, the lighter shade represents those who use it as an investment. Source: Fed Report

The survey results ultimately suggest that the wealthiest Americans are the ones rapidly entering the crypto space. The group withdisproportionately high income“, as the FED highlighted, and that is investing in cryptocurrencies, is part of the banked population, which enjoys, for the most part, retirement savings.

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The Fed is interested in hearing about Bitcoin

as pointed out The Blockthe investigation was carried out before the increase of the variant Omicron in 2021. The Federal Reserve acknowledged that this and other changes in the economic outlook could have affected the outcome of the study if the investigation had been conducted later.

Still, the report indicated that self-reported financial well-being was at its highest level since the survey began in 2013. The addition of cryptocurrencies in this study is the latest sign of the US central bank’s growing interest in understanding the growing crypto economy.


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Article by Hannah Estefanía Pérez / DailyBitcoin

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WARNING: This is an informative article. DiarioBitcoin is a means of communication, it does not promote, endorse or recommend any investment in particular. It is worth noting that investments in crypto assets are not regulated in some countries. May not be suitable for retail investors as the full amount invested could be lost. Check the laws of your country before investing.

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