In the US, more adults are putting their money into Bitcoin than into gold. River Financial has the numbers: 18.5% of American adults have some form of the cryptocurrency, while only 10.8% can say the same for gold. This figure has some wondering if we are still in the early stages of crypto adoption.
River Financial Data: Bitcoin Outpaces Gold
The firm’s latest report puts things in perspective. With Bitcoin now at 18.5%, it is well ahead of the 10.8% for gold, and you could call it a turning point in the competition between digital and conventional assets. For all of gold’s reputation as a safe bet, Bitcoin is making inroads into US holdings in a way that challenges the old order.
Then again, there is a question of how to interpret the data. The study doesn’t make it clear if those 18.5% are holding the coin directly or if they are getting exposure via an ETF or a fund. That kind of detail matters; without it, the true gap between the two is open to interpretation.
Debate Over Early Adoption: Is Bitcoin Still in Its Infancy?
You can’t miss the buzz the report has generated in the crypto world. On a recent Bankless episode, the host put the question to Bitcoin hardliners: to them, the numbers are just more evidence that we are still in the early stages of this movement. After all, for all its gains, you won’t find Bitcoin in the hands of more than 20% of American adults.
But there is another side to it. The writer behind the episode argued that “early stage” is a misnomer when you consider that about 90% of the country has at least some idea of what crypto and blockchain are. In their view, that level of name recognition means we are past where the maximalists would have us believe.
Methodology Matters: Gold vs Bitcoin Ownership
The host of Bankless raised a point worth considering: the way the data was gathered. It is possible the Bitcoin numbers are being inflated by people with exposure through ETFs, whereas the gold side of things is based on physical holdings. If you include gold ETF holders, you might see that figure go as high as 30%. But 19% for Bitcoin is still a number to be reckoned with.
Then there is the question of price. The writer is quick to note that a growing base of owners is no reason to think we have seen the last of Bitcoin’s appreciation. You can have a lot of participants in the market and still have room for more, given how much the space is changing.
Source — Bankless: https://www.youtube.com/watch?v=e6xzL1xuWT4
Explore how Bitcoin’s rising popularity can impact your trading by practicing risk-free with our crypto trading simulator. Practice with our simulator.