Almost 70% of US crypto holders started investing in 2021

But 40% of those polled admitted to not being very knowledgeable about digital assets

Bitcoin logo represented on a gold coin on top of US dollars in cash notes                                 
25% claimed to have between $1,000 and $10,000 in cryptos – Photo: Alamy

Almost seven in 10 US crypto holders started investing in cryptocurrencies in 2021.

This is according to a survey conducted by Huobi Group, the blockchain company behind the crypto Huobi Token (HT). It found 68% of US crypto investors only started doing so in 2021.

Despite this statistic, crypto knowledge among mainstream audiences remains low; more than 40% of people said they were “not very knowledgeable” or “not at all knowledgeable” when it came to digital assets.

Huobi is hopeful that the increase in crypto-investing during 2021 will lead to more people looking into it.

However, almost 25% of people said they felt crypto was a “scam/bubble” and 42% felt ambivalent towards cryptos’ future, not knowing enough about it.

On the other hand, 19% of people said they were strong believers in crypto and supported the statement that crypto “may transform the definition of money in the future”.

Worry about lack of regulation

The survey found that 25% of those asked did not have enough capital to invest in crypto. Even so, 34% were concerned about a lack of regulation in the crypto area, with just under half (42%) saying they felt it was too risky to invest.

On the other hand, non-fungible tokens (NFTs) and the “metaverse” were the two most common crypto-related terms in 2021, with more than half of those surveyed being aware of them. By comparison, just 25% were aware of the term decentralised finance (DeFi).

A quarter (25%) of people who own crypto said when polled that they owned between $1,000 (£731) and $10,000 (£7,315) worth. Under half (46%) said they had $1,000 or less invested in the asset class.

Substantial growth, but a long way to go

Jeff Mei, director of global strategy at Huobi Group, said: “Thanks to the rise of DeFi, NFTs and other emerging sectors, crypto has seen interest from the everyday consumer grow substantially over the last year or so. However, we still have a long way to go before mainstream adoption will happen.

“Once more people take the time to understand the industry and there’s more clarity on global regulations, we can expect to see a spike in participation.”

Huobi Group polled more than 3,000 US citizens in December 2021 to obtain these results.

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