Here’s what our recent market research has to say about the growing cryptocurrency market – and how bitcoin is leading the pack
Earlier this year, Bitcoin Well commissioned Ipsos to conduct market research about bitcoin usage and attitudes in Canada. Given the lack of recent industry data prior to our survey, we wanted to learn more about who’s buying bitcoin, why people invest and what might be holding others back from joining the growing bitcoin movement. And as the second-largest bitcoin ATM company in the country, we also wanted to find out how to better serve our customers.
Over four days in June, Ipsos surveyed cryptocurrency owners and intenders in Canada, ages 18 and above, to glean insights on how they feel about cryptocurrency, where they prefer to purchase from and what motivates their decision making. About one-third of respondents owned bitcoin or another cryptocurrency (called “Owners”), while the remaining two-thirds had yet to buy but demonstrated strong interest (called “Intenders”).
The results were too fascinating not to share, so read on for some of the highlights.
The bitcoin industry is growing every year
Overall, we confirmed the Canadian cryptocurrency industry is growing every year, with ownership increasing notably between 2016 (3% bitcoin ownership) and 2021 (14%).
“Bitcoin and the broader cryptocurrency industry has grown quickly in the past five years from being very niche to something that has a much broader base,” explained Michael Rodenburgh, Executive VP of Ipsos. “Canadians are clearly becoming much more comfortable with cryptocurrencies in general, and it can no longer be considered a niche financial services product. In fact, the trajectory of growth looks strong because Intenders show lots of interest in entering the cryptocurrency market in the future.”
Among the cryptocurrencies, bitcoin is by far the most-owned and most-retained coin. “Most-retained” means that most people who have purchased bitcoin still hold their coins. In contrast, about half of Litecoin owners no longer own LTC.
In addition to Owners (people who already own a cryptocurrency), one in four adult Canadians is considering buying in the future – mainly as a “micro investment”. That’s in line with another finding that most Owners hold under $10,000 worth of bitcoin, with about one-third making transactions of $500 or less. (Even though bitcoin is becoming mainstream, many people still don’t know you can own a fraction of a bitcoin and make ongoing, incremental purchases, just like you’d invest in a savings plan.)
“We are thrilled, but not surprised, to learn bitcoin is the cryptocurrency of choice among Canadians,” says Adam O’Brien, Founder and CEO of Bitcoin Well. “Bitcoin offers everyone the opportunity to acquire and hold sound money, take control of their financial wellbeing and build wealth over the long term.”
Speaking of building well-th, we also learned that:
Owners and Intenders seek long-term investments. Enter: bitcoin.
Whether they’re Owners or Intenders, we learned that both groups share a similar approach to investing – and they’re motivated to invest by the same beliefs. Both groups view cryptocurrency as an attractive investment vehicle and want to take part in a new form of digital money. They’re also drawn to the thrill of investing in something new.
Though they appreciate a good thrill, Owners and Intenders do a lot of research before deciding where to invest. (If you’re into research, be sure to follow the Bitcoin Well news page for helpful articles, posts and updates about the industry.)
Both groups also believe that the best investments are long-term focused. At Bitcoin Well, we couldn’t agree more.
Acquiring and holding bitcoin over the long term is a powerful way to generate personal wealth. And it doesn’t take much to get started.
For example, you could start by purchasing $10 of bitcoin every week – a strategy known as bitcoin Dollar Cost Averaging (DCA). According to website dcaBTC.com, “This strategy is mostly used by investors that are looking to purchase bitcoin for the long term, since it protects them from potentially allocating all their capital at a price peak.”
To help our customers put DCA into action, Bitcoin Well is gearing up to launch a Bitcoin Savings Plan for individuals and employers. The savings plan will give them the ability to purchase bitcoin incrementally and automatically, balancing out the price volatility over time. Visit the Bitcoin Savings Plan page to learn about the program.
Investing a little into bitcoin every week is a sound strategy. Proof: as of writing this article, ‹›$1,570 into $7,962 (a return of more than 400%).
There’s a reason bitcoin is known as the world’s leading digital gold.
Considering buying bitcoin? Don’t let these common concerns hold you back.
The Ipsos research found the main barrier to owning more cryptocurrency among both Owners and Intenders is its price volatility.
But holding bitcoin over the long term, and treating it as a savings account, means you can weather the price swings. And investing fixed amounts at regular intervals – the DCA strategy we mentioned above – also helps protect investors from volatility, because bitcoin’s cost evens out when you hold the coins for long periods of time.
At Bitcoin Well, we firmly believe there’s never a bad time to start investing in bitcoin. (In case you missed it, check out our Chief Revenue Officer’s article about how you haven’t missed the bitcoin boat.)
We also make it easy for people to cash out their bitcoin – another common concern among the Intenders group. We offer multiple options for Owners to either cash out or sell their bitcoin, including the ability to sell bitcoin and receive funds via e-Transfer or direct deposit, use bitcoin to pay off credit cards and other bills and purchase gift cards from major Canadian brands.
Bitcoin Well is proud to provide one other option for cashing out: the in-person transaction. We’ve always offered human-to-human service because we’re committed to providing our clients with top-notch, white-glove service.
And, as we learned from the market research, in-person transactions mean a lot to our prospective clients, too! One of the biggest reasons Intenders have yet to buy coins is because they don’t trust exchanges without an in-person service.
If you’re interested in buying bitcoin for the first time or selling some of your coins, book an appointment with us today.
Want to learn more about bitcoin? We’ve got you covered.
Whether you’re curious about bitcoin and how it works or want to learn more about how you can spend your coins, Bitcoin Well regularly offers workshops and consultations. We also have educational resources, like videos and explanations, to help everyone understand bitcoin and our role in the ecosystem. You can check it all out here!
At Bitcoin Well, we’re here to make buying and selling bitcoin as easy and secure as possible – and everyone is welcome.