The Bank of Canada conducts the Bitcoin Omnibus Survey (BTCOS) annually to monitor trends in the awareness, ownership, and usage of Bitcoin among Canadians. The 2018 survey followed a significant market event—an 85 percent decline in the price of Bitcoin throughout the year. This event had potential implications for user behavior, particularly since many owners initially acquired Bitcoin for investment purposes.
Since its inception in 2016, the BTCOS has evolved with slight modifications and enhancements each year. The 2018 version included new questions on financial literacy, intentions to stop using cash, and preferences regarding online transaction features. Methodological improvements were also made to better align sample estimates with the demographic composition of the Canadian population.
Key Findings from the Bitcoin Omnibus Survey
Awareness and Ownership Trends
The survey data indicates a consistent increase in both awareness and ownership of Bitcoin among Canadians from 2016 to 2018. However, the share of past owners also grew during this period. This suggests that a significant number of individuals who acquired Bitcoin in 2017 may have sold their holdings following the price decline.
Reasons for Owning Bitcoin
The primary motivation for owning Bitcoin remained centered on its use as a store of value or for investment purposes. However, this reasoning saw a slight decrease from 2017 levels. The price drop appears to have influenced owner behavior, though investment continued to be the dominant driver.
Profile of Bitcoin Owners
Bitcoin owners exhibited distinct characteristics compared to the general population. They were found to have lower levels of financial literacy and were more likely to express intentions to stop using cash in the future. These traits highlight a unique demographic profile that may influence adoption and usage patterns.
Implications of Market Changes on User Behavior
The drastic price decline in 2018 served as a stress test for Bitcoin holders. Many who had purchased Bitcoin as an investment were faced with significant losses, which likely contributed to the increase in past owners. Understanding these behavioral shifts is crucial for assessing the long-term viability and stability of cryptocurrency markets.
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Methodology and Survey Enhancements
Each iteration of the BTCOS introduces refinements to improve accuracy and relevance. The 2018 survey included additional questions to gauge financial literacy and preferences toward digital transactions. These enhancements provide a more nuanced understanding of the factors driving cryptocurrency adoption.
Data Calibration Improvements
Better calibration techniques were employed in 2018 to ensure the sample accurately reflected the Canadian population’s demographic makeup. This increases the reliability of the survey results and allows for more precise trend analysis over time.
Frequently Asked Questions
What is the Bitcoin Omnibus Survey (BTCOS)?
The BTCOS is an annual survey conducted by the Bank of Canada to track awareness, ownership, and usage of Bitcoin among Canadians. It helps monitor trends and behavioral changes in the cryptocurrency space.
How did the 2018 price drop affect Bitcoin ownership?
The survey data suggests that the price decline led to an increase in past owners, indicating that some investors sold their holdings following the market downturn.
What were the main reasons for owning Bitcoin in 2018?
Most owners cited investment or store of value as their primary motivation, though this percentage decreased slightly from the previous year.
How do Bitcoin owners differ from the general population?
Bitcoin owners tended to have lower financial literacy and were more likely to plan to stop using cash compared to the average Canadian.
What changes were made to the 2018 survey?
New questions on financial literacy, cash usage intentions, and online transaction preferences were added. Methodological improvements were also made for better demographic representation.
Why is monitoring Bitcoin usage important?
Tracking usage trends helps understand the adoption curve, assess market stability, and inform regulatory and educational initiatives related to digital currencies.