Only 7.5% of El Salvador Citizens Use Crypto, Survey Shows

A recent survey from San Salvador’s Francisco Gavidia University revealed that only 7.5% of Salvadorans actively use cryptocurrency, despite El Salvador being the first country to adopt Bitcoin as legal tender.

Citizens Uninterested in Crypto

The study also revealed that 92% of respondents had not used crypto in the country. Even though 58% of respondents support the president, only 1.3% believe in the El Salvadoran government’s long-term bet on Bitcoin as a legal tender.

The low adoption rate suggests that many citizens are either hesitant or uncertain about the digital currency industry. Various factors may contribute to this, including some citizens’ lack of reliable internet access and education on cryptocurrencies, making adoption challenging.

Concerns about Bitcoin’s volatility also play a role, as many Salvadorans prefer to use cash or traditional payment methods that they believe are more stable and trustworthy.

El Salvador’s Bitcoin Adoption

In 2021, El Salvador gained attention by becoming the first country to accept Bitcoin as legal tender. The decision, led by the country’s president, Nayib Bukele, aimed to boost the economy. The government believed that making Bitcoin legal tender could provide a new financial option for people who do not have access to traditional banking services.

The move did not rule out the country’s sovereign currency, the United States dollar. Rather, BTC coexists as a legal tender in the Central American nation. With this change, businesses were required to accept Bitcoin for goods and services alongside the U.S. dollar.

However, many Salvadorans did not welcome the move as it raised concerns about using Bitcoin.

Still, Bukele has continued to boost the economy by incorporating and increasing the adoption of Bitcoin in the city. The government has since introduced various initiatives, including plans for Bitcoin City.

Earlier this year, the government introduced Chivo Wallet, its official Bitcoin and dollar wallet, to facilitate Bitcoin transactions. Although the wallet initially saw a surge in users due to incentives, the interest quickly faded, with many users abandoning the app after redeeming the incentive.

Despite these challenges, the El Salvadoran government remains committed to using Bitcoin and blockchain technology to make the country a thriving center of opportunity. For instance, the Central American nation has recently accumulated as much BTC as possible.