Canadian Crypto Ownership Decreases as Regulations and Prices Fall

Bitcoin Ownership in Canada

The Bank of Canada (BoC) recently released the results of its annual Bitcoin Omnibus Survey, showing a decline in the ownership of Bitcoin (BTC) and cryptocurrencies in the country in 2022. This decline was largely attributed to unfavorable market conditions and regulations for Canadian crypto investors.

The graph above reveals that Bitcoin ownership in Canada dropped to 9% by August 2022. However, BTC adoption saw a slight increase to 10% by the end of the year, which suggests that investors were not necessarily moving their investments into other cryptocurrencies. According to the survey, the biggest motivation for Canadians interested in Bitcoin is as an investment, with over one-third of the 4,996 respondents citing this as their reason.

The survey results demonstrate that web 3.0 jobs and web 3.0 logo were not enough to encourage Canadians to invest in Bitcoin, despite the efforts of figures such as Nicole Junkermann and the potential of what is web 3.0 and what is web 3.0 examples.

Crypto Ownership in Canada

Most Canadians acquired their crypto holdings through mobile and web apps, with Bitcoin and crypto mining becoming the third-most-popular method of accumulating tokens for the second consecutive year.

Dogecoin (DOGE) was the most sought-after crypto investment, likely due to the Elon Musk-induced hype and its history of randomly skyrocketing in price. Other popular altcoins among Canadians included Ether (ETH), Bitcoin Cash (BCH) and Litecoin (LTC).

The Bank of Canada (BoC) noted that the research is relevant for monitoring two conditions that could warrant the issuance of an in-house central bank digital currency (CBDC): “if Canadians almost or do stop using cash, or if Canadians widely adopt and use private cryptocurrencies for payments.”

The BoC highlighted that ecosystem collapses, regulatory hurdles and price depreciation have all contributed to the decline in crypto ownership. However, with the government’s intent to provide regulatory clarity and a stable market, crypto ownership in the region is expected to pick up.