Survey Reveals Majority of Crypto Investors Are Young, Educated, and Invest Under $10K

A new survey by on-chain analytics company CryptoQuant sheds light on the demographics and investment behaviors of cryptocurrency investors. The report, titled "2024 Crypto Survey: Exchange Use and Investor Behavior," reveals significant trends shaping the industry. Key findings highlight that over 60% of crypto investors are aged between 25 and 44 years, with the majority holding at least a bachelor’s degree and making relatively modest investments under $10,000 annually.

Young, Educated Investors Lead the Charge

Released on January 15, 2024, the survey found that 35% of crypto users fall within the 25 to 34 age group, while 26% are aged between 35 and 44. This suggests that the cryptocurrency market is largely driven by a younger demographic. The report also shows that crypto investors tend to be highly educated, with nearly half (49%) holding a bachelor’s degree and 28% having advanced degrees. This education level reflects the growing appeal of crypto as a financial tool among well-informed individuals.

Predominantly Male with Retail Investor Dominance

The survey also highlights the gender disparity in the crypto space, with 89% of respondents identifying as male and just 11% as female. Most investors report spending less than $10,000 annually on cryptocurrencies, underscoring the dominance of retail investors who are still in the early stages of building their portfolios. Regionally, Asia leads the charge with 40% of users, followed by Europe at 29% and North America at 10%.

Investment Decisions Driven by Research and Social Media

When it comes to making investment decisions, the survey found that 22% of respondents rely on their own research to guide their choices. Meanwhile, 16% turn to social media influencers or key opinion leaders (KOLs) for advice. Interestingly, recommendations from friends, community members, and media outlets have a lesser impact on the decision-making process. This suggests that crypto investors are more likely to trust their own knowledge or the insights of trusted figures in the space.

Spot Trading Reigns Supreme

Spot trading continues to be the dominant form of trading within the cryptocurrency market. A significant 76% of survey participants reported prioritizing spot trading over derivatives or staking. Additionally, only 28% took advantage of "earn" products such as staking and yield farming, signaling that many crypto investors still favor more straightforward trading methods.

Binance Tops the Exchange Rankings

Binance emerged as the most popular cryptocurrency exchange, with 53% of respondents citing it as their primary platform. Binance also ranked highest for profitability, with 51% of users stating that their largest gains came from trades executed on the platform. Furthermore, 48% of respondents said they hold the majority of their crypto assets on Binance.

Other platforms like Bybit, OKX, and Bitget were more commonly used by full-time traders, while part-time investors preferred Coinbase and Kraken. Regionally, Binance’s dominance is particularly evident in Asia, Africa, and South America, where over 50% of users reported using the platform. Meanwhile, in North America, Coinbase remains the top choice, with 45% of respondents citing it as their primary exchange.

Regulatory Compliance is a Key Concern

The survey also found that 83% of respondents are vigilant about exchanges with potential regulatory issues. Binance was viewed as the most compliant exchange by 32% of participants, followed by Coinbase, which was seen as the most compliant by 14% of users. This indicates a strong preference among investors for platforms with a clear regulatory standing, particularly in a rapidly evolving legal landscape.

Bitcoin and Layer-2 Solutions Lead Investor Interest

As for the cryptocurrencies themselves, Bitcoin remains the most sought-after asset, followed by Ethereum, layer-2 scaling solutions, and decentralized finance (DeFi) projects. Bitcoin is also the leading choice for generating profits, with 18% of users stating it is their preferred way to earn. Ethereum, Solana, and XRP follow closely in terms of interest.

The survey suggests that the focus on top-tier cryptocurrencies highlights the continued dominance of "blue-chip" assets. These well-established projects continue to attract investor confidence, as they offer a relatively lower risk compared to lesser-known tokens.

Conclusion

The findings from CryptoQuant’s 2024 survey underscore the evolving landscape of cryptocurrency investments, with younger, well-educated individuals making up the majority of investors. Spot trading remains the dominant form of trading, while platforms like Binance continue to lead in popularity. The dominance of Bitcoin and Ethereum also reflects the market's preference for more established, secure assets. As regulatory concerns and market developments continue to shape the crypto industry, investors remain cautious and selective in their choices.

The survey offers a snapshot of the current state of the cryptocurrency market, showing the influence of well-informed retail investors who are increasingly looking toward established platforms and assets for their financial growth.