Despite numerous reports indicating that Bitcoin HODLers are on the rise, a recent survey revealed the opposite. About 70% of participants that own digital assets answered that they had used them to make purchases such as food, clothing, and even education.
Crypto Users Actually Spend Their Holdings
BlockCard partnered with Bitcoin Market Journal to survey over 35,000 cryptocurrency investors if they use their coins for payments. Some of the questions included if they had spent any digital assets in the past twelve months, on what products, and do they plan to do the same over the next year.
The results of the research were rather conclusive. Over 70% of all respondents said they had used crypto-assets to purchase some goods in the past year. Moreover, the spending categories were versatile.
Nearly 11% went for food, 8.4% for clothing and apparel, 12.6% for entertainment, and 8.4% for education. It’s worth noting that over 5% used cryptocurrencies to pay their rent.
Nevertheless, the answer that received the most votes (77.31%) indicated that participants bought more cryptocurrencies.
The report concluded that the situation in the digital asset field had changed dramatically in the past few years. It went from the early days when users essentially had the choice between “topping up your mobile minutes or spending bitcoins at small online retailers” to today when people spend cryptocurrencies on a “wide range of products and services.”
How Much Are They Spending?
Although many of the participants have spent digital assets in the past 12 months, the amounts spent suggested that “next to none live exclusively on cryptocurrency.”
About 59% of respondents stated that they had spent between $100 and $10,000 in the past year, while only 12.22% purchased goods worth more than $10,000.
However, most people have expressed a willingness to keep spending digital assets (76.5%). 14% said that they prefer HODLing, while the remaining 9.5% were uncertain. They brought out issues such as the insufficient number of stores accepting cryptocurrency payments.
“While many Bitcoin-thought leaders preach HODLing as the only way to interact with Bitcoin, data suggests that digital currency holders are actually using their ‘magic internet money’ as money. – commented Ian Kane from BlockCard.