Bitcoin Holders Among Young US Investors More Than Quadrupled, Gallup Poll Says

Gallup, a young investor

There’s still a long way to go, but analytics firm Gallup asked US investors about Bitcoin and got increasingly positive results. Slowly but surely, Bitcoin is reaching mainstream status. Gallup made a similar survey in 2018, and the compared data from both tells an interesting and bullish story. People with investable income are slowly waking up to the fact that there’s a new game in town. 

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In 2018, the article’s title was “U.S. Investors Not Biting on Bitcoin, but Many Intrigued.” This year, it’s “Bitcoin Making Inroads With Younger U.S. Investors.” The tide is shifting. Indicators abound. However, we’re still very early in the game. It’s as Gallup says: 

Six percent of U.S. investors — defined as adults with $10,000 or more invested in stocks, bonds or mutual funds — say they own bitcoin. This is up from 2% in 2018. But ownership is up a more impressive 10 percentage points, to 13%, among investors aged 18 to 49. It remains minimal among investors aged 50 and older; just 3% now say they own it, versus 1% three years ago.

To put those numbers in perspective, we need to compare. But, who can compete with Bitcoin? What is it usually compared to? That’s right, gold is the only similar asset. Gallup goes one step further and compares it with every financial instrument under the sun:

Bitcoin ownership can be contrasted with the more mainstream investments U.S. investors rely on. For instance, 84% of investors report having money invested in stock index funds or mutual funds, 67% say they own individual stocks, and 50% have bonds. At 6%, bitcoin ownership is more akin to gold, which 11% of investors say they own.

Sex And Risk In Bitcoin Investment

Just as there’s an age gap, there’s a sex gap. As it happened with the Internet, women are taking longer to adopt Bitcoin. And, as it happened with the Internet, they’ll surpass men sooner than later. Just give them time. For now, Gallup informs:

Gallup finds male investors are over three times as active as female investors in the bitcoin market, with 11% of male investors and 3% of female investors now owners.

The perception of Bitcoin is also changing. As volatility settles down, so does the perceived risk factor the newer asset commands. And considering Bitcoin is an ongoing experiment with no guaranteed results, it’s only logical that most investors still see a level of risk inherent to the asset. 

Nearly all investors perceive bitcoin to be a risky investment to some degree — but the percentage calling it “very risky” has declined to 60%, from 75% in 2018. Most of the rest, now 35%, consider it “somewhat risky,” while just 5% think it is “not too risky” or “not risky at all.”

Those “not risky at all” people may be too optimistic, but, who are we to judge?

BTC price chart on Bitstamp | Source: BTC/USD on TradingView.com

What Does The 2021 Gallup Survey Ultimately Show?

We know more about the will of employees, customers, students and citizens than anyone in the world.” According to Gallup ’s “About” page, their company knows what’s up. “We know what matters most to them at work and in life and how those priorities change over time.” And what does that company thinks about Bitcoin? Well…

Bitcoin is inching closer to general acceptance among U.S. investors, particularly with those under age 50. Not only do 13% of these relatively young investors own it, but their familiarity with it and willingness to buy it have risen to majority levels. 

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What’s taking so long? Well, it isn’t. Bitcoin’s adoption curve is beating that of the Internet, and we know how important that little technology turned out to be. In fact, it’s also beating mobile phones and any virtual banking tool:

When compared to the Internet, PayPal, technologies such as mobile phones and other virtual banking tools, Bitcoin’s adoption rate is much faster. Levin said:

Despite the fear mongering, Bitcoin, like all innovative technologies before it, is following a predictable and transparent adoption curve, albeit, at an accelerated rate.

In only 12 years, Levin estimates that BTC reached 135 million users today with projections to have 1 billion users by 2025.

Slow and steady wins the race.

Gradually, then suddenly.

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