How Canadians invest

58% of Canadians hold BTC as an investment

According to a Bank of Canada (BoC) survey released July 23, Canadians were using bitcoin primarily for investment purposes in 2021.

The survey is an update on the Omnibus Bitcoin Survey (BTCOS) conducted by Canada’s central bank during the December 12 to 15, 2021 period, days before bitcoin hit its record high of $65’000 on November 18.

According to the survey, Canadians mostly used the cryptocurrency for investment purposes in 2021, rather than for transactions, which had previously been cited as the main reason for buying bitcoin in 2020.

While 58 per cent of respondents said the motivation for buying cryptocurrency was investment, 12 per cent of Canadian bitcoiners reportedly used BTC because “my friends own bitcoin,” 7 per cent because of an interest in new technology and 6 per cent to buy goods and services online.

Among respondents who have used bitcoin “once or twice but not on a regular basis,” the vast majority – 77 percent – said they perceive bitcoin as an investment.

Citizens of British Columbia report the highest level of bitcoin awareness, claiming an increase from 77 percent in 202020 to 93 percent in 2021.

Residents of Canada’s southern regions rank second among Canadian provinces in terms of cryptocurrency awareness, with Ontario in third place, according to a new study.

Canada’s financial regulator, the Ontario Securities Commission (OSC), released a report in late June that only three per cent of Ontarians successfully completed a short test on bitcoin basics, while 34 per cent demonstrated average knowledge.

Earlier in June, Bank of Canada Executive Director James Chapman argued that “cryptocurrencies pose no risk to the monetary system,” stating that the only threat that could arise would be in the event of hyperinflation.