According to a study by the Bank for International Settlements (BIS), investments by US citizens in cryptocurrencies are driven by a desire to make a profit, not disappointment in the traditional financial industry.
BIS analysts have published the results of a study in which they tried to find out whether the reason for the popularity of cryptocurrencies lies in distrust of the existing financial system. IN
report indicated that American citizens do not consider digital assets as an alternative to fiat currencies. The cryptocurrency industry attracts people with the opportunity to conduct market speculations in order to make a profit.
At the same time, users concerned about the security of cash or bank accounts seek detailed information about cryptoassets. However, most cryptocurrency owners find conventional money and traditional banking services less convenient, although this is not the case for online banking. The availability of debit cards and mobile applications for making payments increases the likelihood of owning cryptocurrencies by 0.9% and 2.7%, respectively.
BIS specialists came to the conclusion that the higher a person’s level of education and income, the more likely they are to buy cryptocurrencies. It also turned out that the most popular cryptocurrencies in the US were BTC, BCH, ETH, XRP and LTC. Every year, the awareness of American citizens about the cryptocurrency market is increasing as people try to improve their level of financial literacy.
So, in 2014, only about 40% of US citizens knew about bitcoin. In 2019, this figure has grown to almost 70%. However, only a small percentage of people have moved on to the practical part – directly to buying cryptoassets. In 2019, only 1.4% of the US population owned at least one cryptocurrency.
In conclusion, the authors of the report announced the need for “neutral” regulation of the cryptocurrency industry. To do this, the blockchain technology that cryptoassets operate on can be used to simplify regulatory control and make it more transparent.
BIS analysts have recently presented another report. They argue that central bank digital currencies will work more efficiently with the participation of commercial banks and payment service providers so that they do not “fall out” of the financial system.
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