Inequality of Men and Women in Crypto – Twice as Many Men Invest in Cryptocurrencies

According to a recent study by CNBC and Acorn Next Gen Investor survey, men are twice as likely as women to invest in cryptocurrencies. The research was conducted in partnership with Momentive, formerly known as Survey Monkey.

Specifically, the study found that 16 percent of male respondents have invested in crypto, while only 7 percent of their female counterparts have done so.

Data also shows that the gender gap in crypto exceeds the gap seen among those who have invested in ETFs, individual stocks, mutual funds, real estate, and bonds.

Given that cryptocurrencies are designed, according to their advocates, to democratize finance worldwide, these findings may undermine one of the central appeals of crypto assets.

Do Men Dominate the Crypto Space?

Hailey Lennon, a corporate attorney at Anderson Kill, stated that the lack of female representation in crypto is a problem because 'to have a financial revolution, you need diverse perspectives and participation.'  

– Since women make up half of the world's population, participation among women must be higher for mass adoption to occur – Lennon added.

Lennon also considered the possibility that women are generally more conservative with their finances. Since cryptocurrencies are still a new asset class and prices are volatile, it is riskier and less predictable, she said.

– I am confident that we will continue to see more people entering this space in the coming years, and I hope to help ensure that a significant portion of that group will be women – Lennon concluded.

According to the 2021 State of UK Crypto report by the cryptocurrency exchange Gemini, this gap is already beginning to close.

– Gemini's 2021 State of UK Crypto report revealed that 41.6 percent of previous or current crypto investors are women, and that number continues to grow – said Stephanie Ramezan, Business Development Director at Gemini Europe.

Heather Delaney, founder of Gallium Ventures, shared Ramezan's opinion.

– Investment confidence is growing because women are more likely to keep significant amounts of their assets in cash and look at investing that money in a more diversified way – Delaney said.

– Crypto companies need to understand that the broader consumer audience needs education to build trust in the space – she added.

Are These Results Fair?

While the results of Momentive's survey have raised alarm among some, others argue that advocating for the development and privacy of the industry makes the sustainability of these results questionable.

– Crypto is an incredibly young asset with a relatively small base of investors. It will take time for those numbers to have real meaning, and ultimately, we would expect the spread to reflect the population as a whole – said Jason Deane, a bitcoin analyst at Quantum Economics.

Deane added that he believes bitcoin is 'the most inclusive asset that humanity has ever seen.'

Samantha Yap, founder and CEO of Yap Global, pointed to the nature of investing in cryptocurrencies as a barrier to collecting accurate data.

– It is much harder to say in the world of cryptocurrencies or decentralized finance because there are many anonymous investors, so we do not know what percentage of them are female or male – Yap stated.

However, alongside this, Yap said she is not surprised by the numbers.

– Doesn't this also speak to the broader discussion about pay disparities between men and women and income inequality? – Yap said, adding that for those unfamiliar with crypto, it can be quite an intimidating asset class.

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