eToro Statistics: Who is Buying Cryptocurrency?

Given that cryptocurrencies are based on blockchain technology, which is not always easy to understand, the crypto-community is naturally not for everyone. Most people with a good technical understanding, such as coders and tech developers, will find it straightforward to use. Young people, who tend to learn how to use new technology faster than older people, also have an easier time adapting to new concepts such as blockchain. But what do the numbers say? Is cryptocurrency really exclusive to the young and the tech-savvy? eToro, the most prominent social trading platform for investors, weighs in on the subject by using data gathered from their platform.

What do the numbers say about cryptocurrency investors?

eToro has facilitated the trading of cryptocurrencies since 2017 and therefore has over a year’s worth of data on its users.  In a report published by them earlier this month, the team behind eToro presented the findings of their research. Among the factors they examined were the investors’ age groups, level of experience, occupation, level of usage, gender, and profitability. Let us have a look at what they found out about the investors.

How old are they?

eToro divided their investors into four age groups: 18-23 years old, 24-35 years old, 36-54 years old, and 55+ years old. The data suggest that some cryptocurrencies are indeed more popular among younger people. Ripple’s XRP, for example, is the most popular amongst the 18-23 year group and then declines in popularity the older the investors are. Interestingly, the reverse is true for other cryptocurrencies like Bitcoin Cash: older investors tend to favor this more than younger ones.

How experienced are they?

In terms of experience, eToro divided their investors into three categories: Novice, Intermedia, and Advanced. This is based on their self-reported level of experience. the experience measured only refers to their experience in cryptocurrency trading and not other forms of trading. The results showed that the vast majority of investors consider themselves novices, with around 10% being intermediate and around 7% being advanced.

What do they work as?

Occupational categories were a bit more spread out and included computer/IT services, unemployed, sales/marketing, student, finance industry, building construction, architecture, engineering, social services, education, healthcare, tourism, legal, arts, design, retired, and real estate. The four biggest groups were the students, sales/marketing, computer/IT services, and the unemployed.

What is the gender ratio?

The gender split between male and female was the most extreme difference, and perhaps also the most telling. The data showed that 91.5% of the investors are men, whereas only 8.5% are women.

What coins do men and women invest in?

Whilst the three main coins invested in by men were Ethereum, Bitcoin Cash, and Litecoin, the female investors heavily favored XRP Ripple.

How much do they make?

When averaging out the profitability across different kinds of coins, the results showed that Bitcoin Cash investors tended to lose out (-3% on average) on their investments. Conversely, Investors in XRP Ripple, Ethereum and Litecoin tended to make around 2-8% profit on average.

All in all, a very interesting report by eToro – go check it out on their website!

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