According to a University of Chicago survey, more than one in ten Americans invested in cryptocurrencies in the previous year.
The rise in crypto prices is believed to have contributed to the growing popularity of digital currencies such as bitcoin and ethereum. According to NORC, the majority of crypto investors (61 percent) bought in within the last six months.
Cryptocurrency is also growing popularity among women and people of color as an alternative to traditional stocks.
Angela Fontes, a vice president in the Economics, Justice, and Society department at the University of Chicago’s NORC, said in a statement that cryptocurrencies are opening up investing opportunities for a broader range of investors, which she calls a “really good thing.”
“It will be critical for these investors to have access to reliable information as they make judgments about these frequently more unpredictable investments,” Fontes added.
Bitcoin reached a peak of over $63,000 in mid-April, a 116 percent increase from around $29,000 at the start of 2021, according to CNBC.
According to the report, crypto investors are younger and more varied in terms of gender, color, and ethnicity than retail stock investors.
The typical cryptocurrency investor is 38 years old, whereas stock investors are 47 years old.