There has been a significant shift in Canadians’ attitudes towards cryptocurrency investment, with a recent study indicating a decline in enthusiasm compared to the previous year. The “Crypto Assets Survey 2023,” conducted by the OSC in collaboration with Ipsos, provides insight into this changing perspective. This article examines the key findings of the survey and explores the reasons behind the diminishing interest in crypto investment among Canadians.
The ownership of cryptocurrency among Canadians has experienced a notable decline, dropping from 13% in 2022 to 10% in 2023. This decrease is a clear indication of the waning interest in this form of investment. Furthermore, the survey reveals that Canadians are now less inclined to perceive crypto as a significant factor in the current economy or anticipate its future importance. In 2022, 49% of respondents believed crypto would play a key role in the future, but in 2023, this figure dropped to a mere 34%.
The majority of crypto owners in Canada are men aged 25-44, holding at least an undergraduate degree and engaged in full-time employment. However, even among this demographic, there has been a decrease in the belief that crypto is a valuable long-term investment. In 2022, 29% of crypto owners saw digital assets as a long-term investment, but this number decreased to 20% in 2023.
The primary rationale cited for the purchase of crypto assets is its role as a speculative investment or gamble. However, the number of owners purchasing digital assets with a long-term investment mindset has also decreased. The regret over purchasing crypto assets more than a year ago has increased among Canadians, with 77% expressing regret in 2023 compared to 68% in the previous year.
Crypto trading exchanges remain the most common method of acquiring BTC and other cryptocurrencies in Canada, with 52% of owners utilizing these platforms. However, there has been a relative increase in the use of decentralized exchanges (DEX) and ATMs. In 2023, 25% acquired their crypto assets through a DEX, up from 18% in 2022. Additionally, 15% of users acquired crypto assets through ATMs in 2023, compared to 8% in the previous year. This shift toward DEXs and ATMs is particularly pronounced among individuals aged 18-34.
The pessimism reflected in the survey extends beyond crypto investment. Another survey conducted by the Bank of Canada revealed strong opposition to the central bank’s exploration and issuance of a digital Canadian dollar (CBDC). A staggering 85% of respondents stated that they would not use a digital loonie, citing concerns over privacy violations and a preference for existing payment methods.
The recent study on Canadians’ enthusiasm for crypto investment indicates a decline in interest and a decreased perception of its importance. The ownership of crypto assets has decreased, along with the belief in its potential for long-term investment. This shift in attitude can be attributed to various factors, including the speculative nature of crypto and increased regret over past purchases. Additionally, the use of decentralized exchanges and ATMs has become more popular among younger age groups. The skepticism towards crypto investment extends to the potential introduction of a CBDC, with a significant majority opposing its implementation. As the crypto market evolves and regulations adapt, it will be interesting to observe how attitudes towards crypto investment in Canada continue to change.