The United States is ranked first when it comes to cryptocurrency adoption or usage. Does it mean that the people are keen on investing in digital coins? A survey done by Harris Insights, an analytics firm, has brought out some interesting facts about the behavior of the Americans in virtual assets sector. It is tough to say whether the study results will have any impact on the weak cryptocurrency market trend that it is currently undergoing.
Majority Is Keen
The survey results of the analytics firm indicated that 41 percent of the citizens in the United States are not ready to invest in virtual currency. Their contention is that nothing could make them put in their hard-earned money into the cryptocurrency market, cryptoglobe.com reported. However, 50 percent of the respondents indicated that they don’t mind investing in digital coins. The survey was conducted at the instance of Gem, a cryptocurrency firm. The objective is to understand the investors’ mindset.
The researcher was keen to know as to what could influence investors in driving them towards the virtual currency ecosystem. The firm has undertaken a poll of 2,000 adults and revealed that only eight percent of Americans are investing in different cryptocurrencies. This included litecoin, ethereum, and bitcoin. However, the figure appears to be minimal because 52 percent of Americans are owners of stocks in comparison. Another key factor is that the annual earnings pattern plays a role in investing in digital currencies.
For instance, those who are earning more than $100,000 a year might not invest in cryptocurrencies since only 6 percent of them own any tokens. On the other hand, 11 percent of respondents earning in the range of $50,000 – $74,900 a year disclosed that they have digital currencies. As far as those earning less than $50,000 per year, the percentage drops to 7 percent.
Reacting to the survey findings, Micah Winkelspecht, founder and CEO of Gem, said, “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.” He thinks that lower-income households might be keen to invest in digital currencies since their mindset is to get rich quick.
Wild West Phase
At the same time, he said that the ecosystem in virtual currency is “still in its Wild West phase” only. Winkelspecht thinks that those who are having money are keen to protect and therefore are not ready to risk investing in crypto coins. Significantly, most of the respondents indicated that they have a lack of understanding basic information. However, there is 20 percent of respondents who understand crypto and could encourage them to invest their money.
Incidentally, IW Capital conducted survey found that 38 percent of respondents in the United Kingdom have failed to understand digital coins. Also, a third of the respondents think that the virtual currency market is in a bubble, which could happen any time in the near future.