Canada has a progressive and tech-savvy population comprising many crypto enthusiasts. Compared with several other jurisdictions, it easily stands out as a country with a vibrant crypto community that attracts several stakeholders, including developers and creators. Therefore, measuring Canadians’ interest in crypto is necessary to create unique use cases, expand blockchain innovation, and establish crypto’s role in reshaping various local sectors.
Cryptocurrency in Canada
Canadians have easy access to major cryptocurrencies like Bitcoin (BTC) and Ether (ETH) but are also open to new currencies with strong potential and distinct use cases. When a new crypto like BTC Bull Token is entering the market, the Canadian crypto community rallies around the coin. This will likely happen with BTCBULL because of its unique value proposition. The new meme coin is championing Bitcoin’s (BTC) climb to $100,000, and is gradually building a passionate community as the general crypto market becomes more bullish.
New cryptocurrencies like BTCBULL, as well as several established assets, are enjoying plenty of attention from the millennial and GenZ populations. Canadians are undoubtedly interested in cryptocurrency projects and innovations for multiple reasons, including investment, payment, and decentralized finance (DeFi).
How Interested Are Canadians in Crypto?
Crypto Knowledge
Figures published by the Ontario Securities Commission (OSC) reveal specifics about Canadians and their interest in crypto. Last year, the Commission surveyed 2,360 Canadians who were at least 18 years old and found that people are more knowledgeable about crypto than they used to be. According to the survey, 54% of respondents know about digital assets, higher than the 51% recorded in 2022.
While average knowledge increased, the purpose of purchase among crypto holders remained unchanged. In 2022 and 2023, the most common reason for buying crypto was its function as a speculative investment. In each year, 28% of holders purchased digital assets hoping their values would spike.
Despite this, the OSC’s report shows that Canadians are not as eager to hold crypto as a long-term investment. In 2022, 29% of Canadians had long-term reasons in mind. Unfortunately, this fell to 20% in 2023.
The reduction in the average Canadian’s long-term belief in Bitcoin is also reflected in the reasons people gave for never owning crypto. The most common reason for reluctance was the problem of potential risk, while many others simply stayed away from crypto because they felt they did not know enough.
Most Canadians who had crypto knowledge gained it from several different sources. The most common knowledge source, which reflects growing popularity, is family, friends, and colleagues. Other popular responses were social media influencers, blockchain experts, and finance media. Interestingly, about 80% of crypto owners say they have been exposed to advertisements promoting cryptocurrencies or exchange platforms, while 65% say they got professional financial recommendations for crypto purchases.
Profile and Behavior
Profile markers among Canadians who hold and use cryptocurrencies have been consistent. In 2022 and 2023, the OSC found that crypto owners are very likely to be men, with the 25-to-44 age range as the most common. Also, crypto holders are usually full-time employees and are likely to be familiar with investments, sometimes self-directed. Furthermore, the average Canadian crypto owner is likely to have better financial knowledge and higher educational qualifications than the average person.
The OSC’s findings align with global demographics, according to figures published by crypto payment gateway company Triple A, which showed that 61% of crypto owners are male. Another report indicates that this number is 74% among US crypto holders.
Canadian crypto owners are also very likely to believe that crypto already plays a vital role in the global financial ecosystem, or that it will do so in the future. More than non-crypto holders, owners are also likely to purchase more digital assets at some point in the near future.
Despite the enthusiasm toward crypto, the OSC’s figures on behavior reflect a lack of awareness of crypto risks. For instance, only 38% of owners in 2023 verified the registration status of the exchange or trading platform where they bought crypto. While 13% were not sure they confirmed, half of crypto owners did not check before depositing their funds.
Storage and Trading
About half of all Canadian crypto owners say that they store their crypto tokens on the platform of purchase, with 32% specifying that they use an online wallet. The survey showed that 4% of crypto owners did not know the storage details of their crypto holdings.
Also, Canadians seem to be less active in crypto trading. The OSC found that in 2022, 61% of crypto owners engaged in trading at least 6 times a year. Surprisingly, this figure dropped to 53% in 2023. At the time of the survey, 17% of holders had not conducted any trades in the past year, higher than the 11% reported at the time of the 2022 survey.
Conclusion: Crypto Adoption in Canada
Several factors affect crypto penetration in Canada and can contribute to crypto adoption. For instance, people are more likely to buy crypto if the assets are readily available on Canadian exchanges. These platforms also help new tokens gain better traction following an official listing.
The regulatory landscape is another factor that can impact crypto adoption. While crypto is taxable in Canada, only 50% of an individual’s total capital gains is taxable. For professional (day) traders, all gains are taxable.
In general, most figures show that Canadians are fond of cryptocurrency and are interested in new coins. While the degree of interest may vary depending on the asset’s purpose and other market conditions, a measure of support is expected. This shows that despite a cautious approach from most Canadians, interest in crypto could increase if efforts to improve access, regulation, and awareness gain traction.
