In today’s world of economic and financial uncertainty, clever investors are looking for safety beyond the fundamentals of fiat currency. Many investors looking to diversify their holdings are drawn to cryptocurrencies because of its decentralized nature.
Even though many people are still undecided on whether or not to invest in cryptocurrencies, the industry is experiencing steady growth. One of the most appealing aspects of this digital currency is that transactions can be completed without the interference of the government. A common complaint against regulations is that they impede the ability of the market to function efficiently for investors while benefiting the system at the expense of those who pay for it.
The global cryptocurrency market was expected to grow from its value of $1.49 million in 2020 to around $4.94 billion in 2023, with a compound annual growth rate of over 12.8%. The current cryptocurrency market value is $903 million.
Cryptocurrency Statistics That You Need To Know
- A whopping 86% of Americans have heard of cryptocurrency by the end of 2021
- The average yearly income of a cryptocurrency investor is around $111,000
- Crypto biggest market right now is India, followed by the United States
- Tether was the most traded cryptocurrency in November 2021, with a volume of $76.74 billion, making it the most popular cryptocurrency in the world at the time
- Cryptocurrency investments are typically made for long-term gains
- Coinbase is the most popular cryptocurrency trading platform for consumers, while Binance is attracting more institutional investors
- Most people believe that cryptocurrency is an excellent investment, 55% believe it is a long-term strategy for wealth creation
Are There a lot of people interested in cryptocurrency?
In spite of its relative youth in the financial world, cryptocurrency is receiving considerable attention. At least 86% of Americans, according to Pew Research, are familiar with the concept of cryptocurrencies. In September 2021, another 24% of people said they’d heard a lot about cryptocurrency.
Younger people are more likely to use cryptocurrencies because of their growing interest in the technology.
Other factors such as race and household income also influence the percentage of people who have heard about cryptocurrency extensively. Nearly half of Asian-Americans and nearly a third of Hispanics say they’ve heard a lot about cryptocurrency.
What Types of People Invest in Cryptocurrencies?
People who are “crypto curious,” as defined by the research, do not currently own any cryptocurrencies, but they are willing to learn more or invest in the market in the near future.
According to Gemini, about 14% of the US population already own cryptocurrencies. There are nearly twice as many people who plan to invest in cryptocurrency as there are people who have already done so.
More than two-thirds of cryptocurrency owners (63 percent) only use their disposable funds to buy cryptocurrencies, according to Binance.
There is a growing demand for cryptocurrency, according to Gemini’s research, which mirrors the findings of global research company Piplsay, which found that 27 percent of Americans are now planning to invest in cryptocurrency, and 50 percent believe it is safe to do so. In addition, 57% of Americans believe that businesses should begin accepting cryptocurrency as a form of payment.
What are the most popular cryptocurrencies?
1. Bitcoin is the most popular cryptocurrency among the general public. The price of Bitcoin increased by more than 540,000% between 2020 and 2021, reaching an annual growth rate of 274% in 2020.
Bitcoin Market Cap: $383,810,093,294
2. Ethereum: A Russian-Canadian programmer named Vitalik Buterin and a British computer scientist named Gavin Wood created Ethereum in 2014. The Ethereum blockchain, which runs smart contracts, serves as the foundation for the Ether currency. As compared to Bitcoin, Ether’s value is derived from its ability to facilitate the development of smart contracts in decentralized applications.
Ethereum Market Cap: $ 137,556,461
3. Tether (USDT): The price of a Tether coin is fixed at one dollar. The reason for this is that it is a stablecoin, which is a type of digital currency. To put it simply, a stablecoin is one that is linked to a specific asset, such as the US dollar in Tether’s case.
Tether Market Cap: $66,738,345,917
4. USD Coin (USDC): USD Coin is a stablecoin (similar to Tether), its value will not fluctuate because it is pegged to the dollar.
USD Coin Market Cap: $55,818,986,123
Cryptocurrency Market Confidence
Significant cryptocurrencies like Bitcoin and Ethereum have seen a surge in institutional and individual interest since the year 2020.
In a survey released in January 2021, over 60,000 people from around the world were asked about cryptocurrencies. 97% of them consider it safe to invest in cryptocurrencies.
- The most popular cryptocurrency is still Bitcoin, which is held by 65 percent of all cryptocurrency owners. 30% of Bitcoin owners allocate 1-20% of their crypto portfolio to BTC.
- Despite the fact that the majority of cryptocurrency are only holders (39%), staking and lending (22%) and payments (11%) are also popular.
- 60% of cryptocurrency users keep their digital assets in exchanges, making exchanges the most popular place to store crypto.
- 66% of people who took the survey said they were using DeFi apps. More than 54% of those surveyed in Southeast Asia use dApps, the region where DeFi is most popular.
Bitcoin is viewed as a safe haven asset by 67% of Millennials
In the past, gold was considered the safest investment, but today’s digital world and crypto adoption has changed everything. Many young people consider Bitcoin to be a safe asset to invest in, and they believe that decentralized financial systems can withstand economic uncertainty.
In terms of ownership, those ages 25 to 34 make up the majority, followed by those ages 35 to 44, which includes the millennial generation. It’s predicted that by the end of 2022, 33.7 million adults will own at least one cryptocurrency.
Trading Statistics for Cryptocurrencies
Cryptocurrency trading and price tracking are made possible through the use of crypto trading exchanges like Binance and Coinbase. High-value people use crypto hedge funds to get better returns than they would from stocks.
Every 24 hours, Binance users trade $13.58 billion in cryptocurrencies.
79% of daily trading volume is handled by 10 Cryptocurrency Exchanges
CoinMarketCap is monitoring 305 different cryptocurrency exchanges for trading volume. By far, Binance is the most popular, followed by Coinbase Exchange ($2.16 billion) and FTX ($1.47 billion).
Since last year, the number of people using Coinbase has nearly quadrupled.
Cryptocurrency traders in the United States prefer Coinbase over any other exchange. A survey found that Coinbase customers were more than twice as likely to use the service than Robinhood customers (the next most popular option).
Crypto wallets are used by 70 million people around the world
In addition to storing and encrypting your cryptocurrency information, cryptocurrency wallets like Metamask, Coinbase Wallet, Trezor, or Ledger allow you to log in with a username and password so that you can protect your cryptocurrency assets.
Crypto wallets are used by nearly 70 million people around the world.
Over 15,000 Bitcoin ATMs were operational by the end of February 2021
Using a Bitcoin ATM, you can either withdraw cash when selling Bitcoin or deposit cash and receive Bitcoin to a wallet of your choice. As a result of these ATMs, bitcoin is becoming more widely accepted, which means it is more useful than other forms of cryptocurrency.
There are currently over 10,000 active cryptocurrencies
Developers around the world are hoping to create the next Bitcoin by developing their own cryptocurrency.
Many of the 10,000 cryptocurrencies on the market have unique features. Eventually, a cryptocurrency with the right features will be developed that can challenge FIAT currencies for online transactions and buy and sell products.
Governments are also working on creating their own cryptocurrencies to jump on board the cryptocurrency bandwagon as quickly as possible.
Cryptocurrency Mining Statistics
Bitcoin mining is no longer as simple as it was in the past, and the market has become overcrowded. As a result, the cost of mining crypto is high, and the reward is low.
- Bitcoin mining generates enough energy to power more than 10 million homes each year
- Regardless of whether you buy or rent a rig, you will have to pay for its upkeep. Pool miners charge between $2000 and $6000 per block to share the block with you
- Since their peak in 2009, the bitcoin block rewards have decreased significantly
- As of January 2022, the daily Ether blockchain reward is just $10, or 0.0085ETH. This is the lowest it’s ever been! It was once possible to mine 5 ETH, but this was reduced to just 3 ETH in 2017
- Bitcoin statistics show that the number of validators grows by 10% per week
- The annual electricity costs for Bitcoin mining are $4,466,697,344
- Bitcoin emissions alone have the potential to raise the global temperature by more than 2°C
- Since it takes ten minutes to verify each block’s transactions, 6.25 Bitcoins are added to the cryptocurrency market every ten minutes