Fed report: crypto usage hits 10% in 2025, Bitcoin sentiment may lift
The Federal Reserve said crypto usage in the US rose in 2025. About 10% of Americans reported using crypto for some purpose, the highest level since 2022, but still below the 2021 peak (12%). The Fed’s crypto usage data showed investment dominates: ~9% used crypto as an investment vehicle, while only ~2% used it for payments. A further ~1% used crypto to send money to family or friends.
Among payment users, more than 25% cited business preference, driven by speed, privacy, and lower costs. By contrast, less than 10% of businesses viewed crypto as “safer” than banks or said they lacked trust in traditional banking. The report also highlighted financial inclusion: unbanked adults had higher crypto usage for transactions (6%) versus banked adults (2%).
With Jerome Powell’s term ending and Kevin Warsh set to take office, the tone matters for markets. Warsh has previously described Bitcoin positively, including the idea that it could provide “market discipline.” For traders, the key takeaway is that crypto usage (including payments) remains niche but is improving, which may support sentiment for BTC without signaling a near-term payments-driven demand surge.
Neutral
This is mildly supportive for BTC sentiment, but not strong enough to justify a bullish price thesis based on real-world demand. On the positive side, the Fed’s crypto usage in 2025 shows a clear rise (about 10% of adults), and payment-related reasons point to practical adoption drivers like speed, privacy, and lower costs—especially among the unbanked (6% vs 2%). On the other hand, the composition remains investment-heavy (about 9% investment vs ~2% payments). That means the report does not confirm a broad shift toward payments utility, so it’s unlikely to trigger a sustained demand surge.
The timing with a more Bitcoin-tolerant Fed narrative (Warsh’s prior comments) can lift near-term sentiment and options positioning. Still, since the data itself frames usage as niche and payments adoption as limited, the net effect on BTC price is best characterized as neutral: supportive sentiment, but not a decisive fundamental catalyst.