13% of Americans have now held crypto: JPMorgan research

Around 13% of the American colonisation — oregon 43 cardinal radical — person held cryptocurrency astatine immoderate constituent successful their lives, caller probe from JPMorgan Chase has revealed.

According to a Dec. 13 study titled: "The Dynamics and Demographics of U.S. Household Crypto-Asset Use,” this fig has risen dramatically since earlier 2020 erstwhile the fig was lone astir 3%.

The latest information from JPMorgan comes from analyzing checking relationship transfers from a illustration of implicit 5 cardinal customers. It recovered that 600,000 customers successful this illustration radical transferred currency to crypto accounts astatine immoderate constituent during the 2020-2022 clip period.

The survey besides noted that cryptocurrency holders typically made their archetypal crypto purchases during spikes successful crypto prices. During this time, the magnitude of currency being sent into crypto speech accounts typically acold outweigh the currency being removed. In different words, astir radical were holding onto their crypto during this clip period.

This changed successful aboriginal 2022 arsenic crypto prices fell according to JPMorgan. In caller months, currency transfers into crypto exchanges person lone somewhat exceeded currency transfers retired of them.

JPMorgan says that this is simply a effect of some terms declines successful crypto and a broader inclination of the savings complaint declining successful the United States since the pandemic:

“We presumption the emergence and autumn of crypto usage since the onset of COVID arsenic accordant with the associated narration betwixt retail flows and marketplace prices seen successful anterior research. Additionally, the inclination successful crypto flows besides tracks dynamics of household savings, which spiked to historical highs aboriginal successful the pandemic but has begun to reverse.”

Who's buying?

The study besides weighed successful connected whether definite demographic groups are much apt to bargain crypto. It recovered that men of each ages bargain importantly much crypto than women, and younger radical bargain importantly much than older people. For example, the study recovered that implicit 25% of millennial men person bought crypto, whereas lone astir 12% of millennial women and 5% of antheral babe boomers have.

A breakdown of crypto ownership by demographic. Source: JP Morgan Chase

The probe besides recovered that crypto holdings were comparatively insignificant for astir individuals, with median flows adjacent to little than 1 week’s worthy of “take-home pay.” 

On the different hand, astir 15% of crypto owners had much than a month’s wage invested successful crypto.

Related: Arthur Hayes says Bitcoin has bottomed arsenic “everyone who could spell bankrupt has gone bankrupt”

The crypto marketplace has gone done a melodramatic autumn successful 2022. Bitcoin (BTC) has fallen from a 2022 precocious of $47,459 successful March to $17,208 astatine the clip of writing, portion Ether (ETH) has fallen from $3,521 successful April to $1,273 astatine the clip of writing.

This autumn successful the crypto marketplace has been the effect of marketplace shocks specified arsenic TerraUSD (UST) stablecoin losing its peg successful May and crypto speech FTX going bankrupt successful November.

Trading fees person fallen connected galore crypto exchanges, and Coinbase has adjacent stated that its revenue has fallen by astir 50%.

But contempt this diminution successful crypto prices and trading activity, this caller study indicates that crypto ownership has inactive accrued implicit the people of the past fewer years.