8% of Americans Invest in Cryptocurrencies According to a Poll
According to a poll released by Harris Insights at the beginning of this month, has revealed that 8% of Americans have invested in virtual currencies. However, compared to stocks, the number is quite low, specially if we compare it with a similar Gallup poll from 2016 that found that 52% of Americans own stock.
Although 8% of investors said that they placed their funds in cryptocurrencies, 41% of the respondents informed that they do not want to invest in the cryptocurrency market and nothing could make them change their mind.
Apparently, one of the reasons why individuals do not want to enter the crypto market is volatility. Moreover, for most of the investors, the crypto world is still highly unregulated and this is something that may not change in the near future. It is important to mention that younger investors are more willing to enter the market.
Gem’s founder and CEO, Micah Winkelspecht, commented:
“We find that younger people with less income are more willing to put money in crypto. My guess is that crypto is of the digital age. And the younger generation is of the digital age and used to doing everything on the internet.”
Another important or surprising result from the Harris Insights survey was that adults earning over $100,000 per year, were very reluctant to invest in cryptocurrencies. The percentage of crypto investors increased with a decreased yearly income.
Moreover, Winkelspecht mentioned that there are far more benefits for younger users with less money to invest in cryptocurrencies than risks. Another reason he gives about why less wealthy investors are putting their funds in virtual currencies is to the fact that they can ‘get rich quick’ ignoring all the risks associated with them.
According to Fortune, the survey has been conducted in a bear market that started at the beginning of the current year. In December 2017, Bitcoin reached its all time high at $20,000 dollars. Later in January 2018, altcoins experienced a strong upward trend. Since then, most of the cryptos lost over 65% (at least) of their value.
During this year, the main discussion topics were related to regulations and the approval by the U.S. Securities and Exchange Commission (SEC) of a Bitcoin exchange traded fund (ETF).
Nonetheless, 50% of the American adults are interested in trying out this new asset class in the future. If a Bitcoin ETF is approved and virtual currencies enter a bull market, the number of individuals and investors interested in cryptocurrencies could substantially increase.