MW Here's what's preventing the majority of Americans from getting into crypto

By Gordon Gottsegen

90% of people who don't own crypto say they don't know enough about it

Even as bitcoin trades close to all-time highs and the U.S. government has passed a new law regulating the use of stablecoins, the majority of Americans aren't investing in crypto because they don't know enough to feel comfortable.

The National Cryptocurrency Association $(NCA)$, a nonprofit focused on understanding how everyday people understand and use crypto, found that about one in five people in the U.S. own cryptocurrency. But in a new survey, the NCA broke down why people don't own crypto - and the overwhelming reason is a lack of knowledge.

The NCA survey found that 90% of people who don't own crypto said they aren't knowledgeable about using or trading it, preventing them from getting comfortable with digital assets. Nearly half, or 49%, of non-crypto owners said the biggest barrier to entry was not knowing how cryptocurrencies work.

There have also been plenty of instances that may have turned the general public away from crypto. The high-profile collapse of the crypto exchange FTX in 2022 and subsequent arrest of its founder, Sam Bankman-Fried, may have damaged overall trust in the industry. Years later, many FTX customers are still waiting to get the money from their accounts back.

On top of that, the volatile nature of digital assets might not be suitable for everyone. After bitcoin (BTCUSD) reached its then-record high of $68,742 in November 2021, it fell over 70% the following year and didn't reach those levels again until 2024.

"I do not know enough about it. It just seems questionable to mein how it works," a 66-year-old man wrote in the survey responses.

Crypto has been in the public sphere for a number of years now, but its technical nature and intangibility has prevented a large portion of the public from jumping on the bandwagon. For example, 41% of survey respondents said they don't know who or what is "backing" crypto, despite the fact that its decentralized nature means that no one actor or group has the ability to "back" crypto.

"[Crypto] is a new technology that is trying to find its way in the world, and there is a tremendous amount of untapped potential in this technology," Stu Alderoty, president of the NCA, told MarketWatch. "And I think a lot of that untapped potential has remained untapped because of the lack of clarity."

Alderoty compared crypto to the internet in 1996. Although the technology is new and promising, the wider public isn't exactly sure what they need it for or how to use it. Once that gets made clear, Alderoty said crypto adoption will follow.

"Crypto's biggest barrier is comprehension. For most Americans, crypto still feels confusing," he said.

The survey came to that conclusion too. Over half of the survey respondents said that researching crypto was "overwhelming." Only 14% said they've discussed crypto with family and friends.

While these issues create roadblocks for crypto adoption, Alderoty said education is a way to overcome them. Even though only 14% of non-cryptocurrency users said they have spoken with friends and family about digital assets, those who did were much more open to using them in the future. Alderoty said that he hopes talking more about crypto will help people feel comfortable using it. He also put the onus of education on the crypto industry.

This may be a win-win. Greater crypto education would help those who feel intimidated or overwhelmed by the burgeoning field. And for the crypto industry, more knowledge means more people getting into crypto for the first time - potentially driving prices higher.

-Gordon Gottsegen

This content was created by MarketWatch, which is operated by Dow Jones & Co. MarketWatch is published independently from Dow Jones Newswires and The Wall Street Journal.

(END) Dow Jones Newswires

July 22, 2025 15:20 ET (19:20 GMT)

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