How many Crypto investors are there worldwide?

Cryptocurrencies were, almost from the moment of their conception, a source of debate, division, and controversy. But with the perspective that only time can give, we can analyze the facts objectively and analyze what's happened to this new form of investment as its matured over the years.

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Several economists from the Swiss Bank for International Settlements, have completed a study in which they analyzed data on investments in cryptocurrencies in 95 countries between 2015 and 2022.

The most striking result was one that indicated about 75% of the investors who bought Bitcoin within the last seven years have lost money on their purchases.

At a time when the crypto market has been more in trouble than ever, following the fall of FTX and other notable bankruptcies, the International Settlements study offered tangible data on the robustness of crypto investing, and for the most part, it showed buying into crypto was not a good investment.

Regardless of the findings, the truth is that within the last seven years, cryptocurrencies have facilitated the movement of millions and made some people extremely wealthy while the prices skyrocketed (and then fell). Let's look at the case of Bitcoin.

In August 2015, Bitcoin was priced at $250, peaking at $69,000 in November 2021.

As of November 22, 2022, Bitcoin stood at $15,300, with a clear downward trend in the previous weeks.

If you believed that the cryptocurrency market was limited or a niche, you'd be wrong. Crypto is a massive market that moves billions of dollars.

In fact, the International Settlements study indicated that people who buy and sell cryptocurrencies had gone from 119,000 to 32.5 million between 2015 and 2022.

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The reason, according to the study, was the arrival of "retail investors" in the crypto world and the ease of accessing investments through online exchanges and phone applications.

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In fact, the arrival of retailer investors in the crypto market has made it possible for large holders, known as 'Whales', to sell their Bitcoins at great profits.

Obviously, these Whales make up the bulk of that 25% that has obtained benefits from the cryptocurrency market since 2015.

While most Whales are experienced investors with economic power, the bulk of retail investors, as well as 40% of all new investors, are men under the age of 35.

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In addition to little experience in the world of investments, the study pointed to these new investors as "risk seekers", embracing buys and trades that implied greater benefits, though they ultimately suffered tremendous losses.

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This young segment of investors, as confirmed by the study, tended to be more active in trading during the months after an increase in the price of Bitcoin while Whales took advantage of that market activity to sell their Bitcoin at a high price.

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Finally, the study indicated that the majority of investors in the crypto sector recognized their investments were speculative, knowing full well that their gamble had a lower probability of paying off in the end.

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