Cryptocurrencies growing more popular in eurozone: ECB

FRANKFURT

The number of eurozone consumers who own cryptocurrencies has more than doubled in the past two years, with most using them as an investment, a European Central Bank survey has indicated. 

Nine percent of those quizzed said they owned crypto assets such as bitcoin or ether, up from four percent in 2022, according to the ECB's study of payment habits in the euro area.

Crytocurrencies' popularity is growing despite their often extreme volatility and controversies such as the collapse of several industry giants, most notably the FTX exchange platform.

Bitcoin surged past $100,000 earlier this month in the wake of the U.S. election victory of Donald Trump and his pledge to make the United States the "bitcoin and cryptocurrency capital of the world."

Among the 20 euro area countries, 13 have cryptocurrency ownership rates of above 10 percent, the ECB said.

The highest rates were in Slovenia, with 15 percent, and Greece at 14 percent.

In Germany, only 6 percent of respondents had crypto assets.

People aged 25 to 39 were most likely to own crypto assets, followed by those aged 18 to 24, the survey found.

The survey indicated a "clear preference for using crypto assets only as a means of investment," rather than as a means of payment, the ECB said.

For instance in the Netherlands, 90 percent of respondents said they used crypto assets only for investments while the figure in Germany was 82 percent.

When it comes to number of payments, cash continues to dominate and is used at the point of sale in 52 percent of transactions, although it is down several points from 2022, according to the biennial study.