2022 was a rollercoaster year for the crypto industry. From some of the highest Bitcoin prices ever to some of the lowest, large-scale industry fallouts from companies like Terra, FTX and Alameda Research and more – it was a volatile and potentially confidence-testing year for the ecosystem.
To better understand how the 2022 crypto winter and large industry fallouts impacted consumer behavior and confidence in the crypto industry, Paxos launched our annual cryptocurrency adoption and purchasing behavior survey in January 2023, and our research revealed three key takeaways:
- Consumer confidence and trust in crypto are high
- Crypto expansion into everyday financial transactions is a huge opportunity for financial services companies
- Crypto owners still want traditional financial services companies to join the crypto ecosystem
Download the 2023 report to view the full results, including additional details on consumer confidence, platforms used to purchase crypto, desire for expanded use cases and how consumers are learning and engaging with crypto.
Paxos recruited five thousand respondents to participate in our survey between January 5, 2023, and January 6, 2023. To participate in r the survey, respondents needed to live in the U.S., be 18 or older, and have a total household income greater than $50,000. They were also required to have a bank account and purchased cryptocurrency in the last three years. Results were derived from unweighted aggregations of survey responses.
Takeaway 1: Consumer confidence and trust in crypto are high
Despite a disruptive end to 2022, interest and investment in crypto remain strong. More than 75% of people surveyed indicated that they are very confident or somewhat confident in the future of cryptocurrency. Notably, these results indicate no change in how respondents felt 12 months ago, as our 2022 survey showed similar findings. Additionally, 72% of respondents reported that they are a little or not at all worried about the volatility of the crypto markets seen over the past year.
Takeaway 2: Crypto expansion into everyday financial transactions is a huge opportunity for financial services companies
While 52% of crypto owners continue to be interested in crypto as an investment, crypto owners also want to use digital assets for everyday financial transactions, including payments and remittances. Forty-two percent of survey respondents said they were interested in using crypto to pay for goods or services. At the same time 38% reported an interest in earning crypto as a credit card or loyalty program reward. In addition, 34% of respondents were interested in using crypto to send money to friends or family.
Takeaway 3: Crypto owners still want traditional financial services companies to join the crypto ecosystem
There was strong demand last year for more traditional financial institutions – including banks, payment companies, and wallet providers – to join the crypto ecosystem. This interest has not waned, as 75% of respondents indicated that they would be likely or very likely to purchase crypto from their primary bank if it were offered. That’s up 12% from last year’s results, underscoring the growing consumer desire to bring crypto into everyday finance.
As cryptocurrency becomes a new standard for financial transactions, banks and other financial services companies have an unprecedented opportunity to serve their customers and expand their businesses by participating in the crypto economy. Download the full report to learn more.
The content of this blog post was prepared for informational purposes only and does not represent investment advice. For a full disclaimer, download the report.