US Appetite for Crypto Pulls Back, New Study Shows

US investors are showing less interest in buying crypto than they did a few years ago, according to new research from the Financial Industry Regulatory Authority. The study says the share of investors who already hold crypto stayed at 27% between 2021 and 2024. But, the number thinking about investing for the first time dropped from 33% to 26% during the same period.

FINRA reported that the share of investors with high investment risk behavior dropped from 12% to 8% between 2021 and 2024. The sharpest drop appeared among investors under 35, falling from 24% to 15%. 

Analysts say this shift lines up with broader economic conditions. This comes as uncertainty over interest rates, inflation, and overall market direction has pushed many toward assets viewed as safer.

Crypto Seen as Risky but Still Useful

The study found that 66% now view crypto as a risky bet, up from 58% in 2021. Even with that caution, many respondents said they still feel pressure to take larger risks to reach future financial targets. One third of all surveyed investors agreed with that view, rising to half of all respondents age 35 and under.

FINRA also noted that 13% of investors reported buying meme stocks or other viral trades. That figure climbs to nearly one third among people under 25, a group that has been active in trend driven markets in recent years.

New Investor Growth Slows

The number of fresh market entrants has also cooled. Only 8% of respondents said they joined the market within the last two years as of 2024, compared with 21% in 2021. FINRA said the wave of younger and first time investors who surged into markets during the early pandemic years has faded, returning participation levels among adults under 35 to where they stood in 2018.

Overall, the regulator said the findings point to a shift toward more careful investor behavior compared to 2021. With economic conditions still uncertain, it appears many US investors are taking fewer chances and are less eager to expand into crypto for now.