15% of US citizens made crypto transactions as of mid-2022

Please fol­low and like us:
Pin Share

JP Morgan’s recent report revealed that almost 15% of indi­vid­u­als in the U.S. have issued trans­fers into cryp­to accounts, accord­ing to num­bers from mid-2022. The detailed demo­graph­ic data also indi­cates that Men, Asians, and high­er-income youth have the high­est cryp­to adop­tion in the country.

JP Mor­gan looked into its 5 mil­lion active check­ing account cus­tomers and esti­mat­ed the results accord­ing­ly. The report com­ments on the main find­ing and states:

“The trend has poten­tial impli­ca­tions for the health of house­hold bal­ance sheets, giv­en mar­ket volatil­i­ty and uncer­tain­ty of how use of cryp­to-assets may evolve.”

Demographics

Accord­ing to the num­bers, the Mil­len­ni­als have the high­est cryp­to adop­tion, with 20%. Gen­er­a­tion X and Baby Boomers fol­low the Mil­lenials as the sec­ond and third, with 11% and 4%, respectively.

Crypto adoption by generations and gender
Cryp­to adop­tion by gen­er­a­tions and gender

Men are rep­re­sent­ed with the blue blocks, while women are shown with the yel­low ones. The data shows that men have near­ly twice as much adop­tion as women across all gen­er­a­tions. In addi­tion, the medi­an total gross trans­fers for men is around $1,000 and only $400 for women.

The racial sta­tis­tics are focused only on the mil­len­ni­als since they con­sti­tute the major­i­ty of cryp­to users in the sam­ple. How­ev­er, the data shows that users of Asian ori­gin have the high­est involve­ment rate, with 27%.

Crypto adoption by race and income
Cryp­to adop­tion by race and income

His­pan­ic and Black users shared the sec­ond place with 21% adop­tion, while users iden­ti­fied as White appeared to have the low­est adop­tion rate with around 10%.

Income

Racial sta­tis­tics also proved that the amount trans­ferred into a cryp­to-relat­ed account increased as the users’ income increased, regard­less of race.

The cor­re­la­tion between the income and the amount trans­ferred to a cryp­to account is valid for all indi­vid­u­als in the sam­ple. While acknowl­edg­ing that the lev­el of cryp­to engage­ment is high­er for high­er-income indi­vid­u­als, the report also stat­ed that the medi­an gross amount trans­ferred to cryp­to across the sam­ple is around $620.

Crypto users surge during peak market.

Accord­ing to the report, the num­ber of users who trans­ferred funds into a cryp­to account tripled dur­ing the COVID-19 crisis.

Fist time crypto users 2017-2022
First-time cryp­to users 2017–2022

Most users issued their first trans­ac­tions dur­ing the same five months, cor­re­spond­ing with the peak BTC price.

The data also revealed that indi­vid­u­als in the high­est income group pur­chased cryp­to while the prices were rel­a­tive­ly low. On the oth­er hand, users in the low­est income group pur­chased from the high­er price lev­els, which sug­gests low­er invest­ment returns.

BTC prices and first-time crypto purchases based on income quartiles for millennials
BTC prices and first-time cryp­to pur­chas­es based on income quar­tiles for millennials

The chart above only con­sid­ers the mil­len­ni­als and groups them based on their gross income lev­els. The low­est income quar­tile appears to have pur­chased cryp­to for the first time while the BTC price was lin­ger­ing around $45,500.

On the oth­er hand, mem­bers of the high­est income quar­tile had pur­chased cryp­to when BTC was as low as $42,400.

Read Our Latest Market Report

Source link

Please fol­low and like us:
Pin Share

Leave a Reply

Your email address will not be published. Required fields are marked *