Gemini has surveyed 20 countries from North America, Latin America and the Asia-Pacific region.
The pace of adoption is now surprising given how much cryptocurrency prices grew in 2021. In November, the total market capitalization peaked at more than $3 trillion, with Bitcoin reaching an all-time high of roughly $69,000. Some altcoins, such as Solana, Terra and Dogecoin, recorded massive gains, captivating the attention of the investment community.
Unsurprisingly, the survey shows that countries with relatively high inflation tend to lead in cryptocurrency adoption. The devaluation of some fiat currencies has prompted people to search for alternatives within the cryptocurrency sector.
Indonesia and Brazil are the top countries when it comes to crypto adoption, with more than 41% of residents of these countries already owning digital assets.
Sixty-four percent of Indonesians view cryptocurrencies as a hedge against inflation in spite of their volatility.
Cryptocurrencies are less popular in countries with more stable fiat currencies. For instance, 18% of respondents own digital assets in the U.K. Only 15% of Europeans believe that cryptocurrencies serve as a viable inflation hedge.
Seven percent of those European respondents who do not currently hold any digital assets plan to purchase them in the future.
As for the U.S., roughly a fifth of respondents have acquired cryptocurrencies.
While cryptocurrencies made significant strides in terms of penetrating the mainstream conscience last year, it remains to be seen whether this interest is sustainable. Despite a recent rally, the majority of altcoins remain far from record highs (save for outliers such as Terra).