Crypto Users to Reach 1 Billion by 2025

The cryptocurrency industry could reach its first billion users by the end of 2025, according to Bitcoin analyst Willy Woo.

In an April 29 X post, Woo stated:

“On track for 1 BILLION crypto users by the end of 2025. An extrapolation of many independent prior studies in this chart. Binance estimates that 65% of crypto users hold Bitcoin.”

Woo’s chart is described as the first comprehensive model aiming to map out all existing crypto asset users and predict the first billion adopters, as noted by Daniel Batten, investor and author of the Bitcoin ESG Forecast. Batten replied to Woo on X, saying:

“Incredible chart. The first view we’ve had of when we’ll cross the 1B threshold, with a full backtrace.”

The chart defines crypto users as unique entities that have completed Know Your Customer (KYC) verification and have previously transacted on the blockchain.

Achieving the first billion crypto users is seen as a crucial milestone for mainstream adoption, potentially bringing significant capital influx, which is vital for the price appreciation of digital assets.

According to a January 2024 report by Crypto.com, the number of cryptocurrency owners increased by 34% to 580 million in 2023.

Bitcoin holders grew by 33%, from 222 million in January to 296 million in December 2023, making up 51% of global crypto holders.

The report attributes this growth mainly to developments around Bitcoin exchange-traded funds (ETFs).

However, to reach the first billion users, the current 580 million users would need a 72% increase, which seems unlikely based on 2023’s growth.

A 2022 joint report by Boston Consulting Group, Bitget, and Foresight Ventures estimates that the first billion crypto users could be reached by 2030.

This report compares the internet’s adoption curve to the current number of cryptocurrency holders and Ethereum addresses with non-zero balances, assuming the current crypto adoption rate continues.

According to BCG, crypto adoption is still low, with “plenty of room to grow.”

The consulting giant estimates that only 0.3% of individual wealth is invested in crypto, compared to 25% in global equities.

Sources:

https://cointelegraph.com/news/crypto-on-track-1-billion-users-end-2025-analyst

https://twitter.com/woonomic/status/1784834972886638787/photo/1

https://contenthub-static.crypto.com/wp_media/2024/01/Crypto-Market-Sizing-2023.pdf

https://github.com/Foresight-Ventures/Research/blob/main/What%20Does%20the%20Future%20Hold%20for%20Crypto%20Exchanges_Eng_Jul%202022.pdf