A joint study conducted by Boston Consulting Group (BCG), Bitget, and Foresight Ventures revealed that digital asset adoption is still in its early days. If the trend continues, the total number of cryptocurrency users should tap one billion by 2030, the entities asserted.
Adoption gains momentum
According to the research, crypto adoption is still at its starting point, as only 0.3% of total individual wealth is spread across the asset class. In comparison, 25% of people’s funds are allocated to stocks such as shares of private companies.
North Americans are the most inclined to invest large sums in digital assets, while Africans are on the opposite corner. On average, a single investor from the African continent holds around $190 worth of crypto.
Despite the low adoption rate and recent market downturn, BSG, Bitget, and Foresight Ventures expect a new wave of people to join the digital asset universe in the coming years. Comparing the asset class to the development of the internet in the 1990s, the entities calculated that the number of crypto users is expected to reach one billion by 2030.
It is worth noting that professional traders find the digital asset industry more attractive than others. Retail investors have distributed around $300 million or 4% of their wealth in it, while institutional investors have allocated 2% of their total portfolio.
“Among institutional investors, hedge funds and venture capital firms are the most willing to invest. These players nearly doubled their exposure to $70 billion between the fourth quarter of 2020 and the end of 2021. We expect allocations to continue to increase,” the study states.
The research further outlined some of the biggest corporations that own cryptocurrencies, including Tesla and MicroStrategy. It is worth mentioning, though, that the electric vehicle giant recently sold 75% of its bitcoin stash for over $930 million.
Coinbase CEO with the same prediction
In May this year, Brian Armstrong – CEO and co-founder of Coinbase – also predicted that the total number of cryptocurrency users worldwide will rise to one billion. Contrary to the aforementioned study, the executive estimates that this milestone will be reached within the next 20 years.
Armstrong’s forecast does not lack logic since crypto adoption has been on the rise recently, especially during the bull run last year. During the first six months of 2021, the number of individuals involved in the market more than doubled, hitting over 220 million.
Different sources indicate that more than 300 million people currently classify themselves as cryptocurrency users.
