Keywords

consumer finance, cryptocurrency, FinTech, inflation, portfolio choice, stimulus

Abstract

Using transaction-level data from millions of U.S. households, we provide the first comprehensive characterization of retail cryptocurrency investment. Crypto investors are distinguished not by demographics but by a latent behavioral type revealed through consumption patterns—one that also predicts higher participation in traditional equity brokerages. The economic forces driving crypto investment, including income shocks, workplace peer effects, and inflation exposure, mirror those driving traditional investment. Crucially, households whose consumption matches the crypto-investor profile are more responsive to all these drivers across both asset classes, suggesting that investor type is a more relevant distinction than asset class.

Original Publication Citation

Who Invests in Crypto? Wealth, Financial Constraints, and Risk Attitudes (2023) with Scott Baker, Tetyana Balyuk, Marco Di Maggio, Mark Johnson, and Jason Kotter Revise and Resubmit, Review of Financial Studies

Document Type

Working Paper

Publication Date

2026

Publisher

Review of Financial Studies

Language

English

College

Marriott School of Business

Department

Finance

University Standing at Time of Publication

Assistant Professor

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