More Americans, Especially Unbanked, Are Turning To Cryptocurrencies

English May 31, 2022

According to research carried out by the Federal Reserve, the central bank of the United States, people who transact with cryptocurrencies are twice as likely to be unbanked than those who do not use them.

The Fed found that 13% of Americans who use cryptocurrencies for payments do not have bank accounts, an increase of 6% when compared to the public who do not use cryptocurrencies. Meanwhile, 27% of people who use cryptocurrencies for payments report that they do not have a credit card, compared to 17% of people who do not own or use cryptocurrencies.

It is the first time that the US banking regulator has included cryptocurrency questions in its 11,000-person survey panel in October and November.

Looking at a broader perspective, the Fed survey estimates that 12% of Americans owned or used assets like Bitcoin and Ethereum in the past year.

Federal Reserve research also found that people who use cryptocurrencies for payments are much less likely to have retirement savings. But the retirement savings rate was about the same between people who don't use cryptocurrency, 27%, and people who use it only as an investment, 29%.

Last but not least, it has also been observed that people who use crypto assets like Bitcoin and Ethereum as investments tend to be wealthy. The survey found that 46% of cryptocurrency investors had income of at least $100,000. People with incomes of less than $50,000 accounted for 29% of cryptocurrency investors.

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Morel Hernandes

Writer passionate about politics, economics, blockchain and crypto-currencies.