A study conducted by crypto exchange platform Gemini finds that cryptocurrency adoption reached a crucial tipping point in 2021.
In a new report, Gemini surveyed over 29,000 adults in 20 countries in an effort to gauge the world’s awareness and attitude toward digital assets.
While polling citizens of North America, Latin America, Western Europe, the Middle East, and the Asian Pacific regions, Gemini spoke to people aged 18 to 75 with a minimum income of $14,000.
Calling 2021 a “breakout year,” Gemini says that 41% of cryptocurrency owners made their first-ever purchase during that period. Another 41% of survey participants are said to be “crypto curious.”
The study shows that inflation is currently a strong motivating factor for crypto buyers.
“Respondents in countries that have experienced 50% or more devaluation of their currency against the US dollar over the last 10 years were more than five times as likely to say they plan to purchase crypto in the coming year than those in countries that have experienced less than 50% currency devaluation.”
The report also highlights that venture capital firms have now invested over $30 billion into cryptocurrency and blockchain startup companies. The overall market cap surpassed $3 trillion and crypto is cited as the best-performing asset class over the past decade.
Impediments to wider crypto adoption include concerns about security and market volatility, as well as confusion about how to buy and store digital assets. Other barriers to entry are regulatory uncertainty, potential tax impacts, and lack of educational resources.
With more and more people seeing cryptocurrencies as real money and a store of value each year, Gemini concludes,
“Cryptocurrency reached a tipping point, evolving from what many considered a niche investment into a global, established asset class.”
Don't Miss a Beat – Subscribe to get email alerts delivered directly to your inboxFeatured Image: Shutterstock/Mia Stendal/Sensvector