The relative rapidity with which a large segment of the public has embraced cryptocurrency has left many traditional financial analysts scratching their heads. Especially during the rocky first few years of its availability, most Wall Street pundits dismissed it as a passing fad or speculative bubble destined to burst—the financial equivalent of Beanie Babies.
However, the passage of time has proven that crypto is far more resilient than its naysayers thought. According to a study by Statista, in the second half of 2024, the number of identity-verified crypto users across the globe increased by approximately 40 million, and an investigation by Security.org revealed that in the United States alone, cryptocurrency ownership among adults rose from 30% in 2023 to 40% in 2024, with 63% of current owners planning to acquire more in the next year.
Beyond crypto’s newfound popularity, there is also its potential to reshape finance as we know it. Crypto has the inherent capacity to decentralize traditional financial systems, offering greater inclusivity and transparency to individuals worldwide. Just ask Cole Diamond, co-creator and former CEO of Coinsquare, Canada’s top crypto exchange. “By its very nature, cryptocurrency removes the need for intermediaries, allowing for peer-to-peer transactions that are faster, cheaper, and more secure,” he explains, adding, “Even though millions upon millions of people around the world are waking up to the vast potential of crypto, there are still many who are intrigued, but won’t yet partake because they don’t really understand how it works. That’s why financial literacy will be the critical bridge between curiosity and participation.”
As with any broad-sweeping emergent technology—especially ones involving personal finance—knowledge of how it works generally fosters more trust. “When I’m asked to explain how crypto works to someone without any background in it at all, I usually say some version of the following: It’s like digital money you can use online, but instead of being run by a bank or government, it’s powered by a network of computers that keep everything safe and fair,” says Diamond, who, although he has since started working in other industries, keeps a watchful eye on the world of encrypted digital assets.
He continues: “How the computers do that is by working together to verify every transaction and record it in a secure digital ledger called the blockchain. The blockchain is impossible to hack or to alter, making it by far the most secure way to track and transfer the value of assets. When I tell people this stuff using simple, clear language, I can see in real-time that most of the misconceptions melt away, and their interest in investing in crypto usually goes up, too.”
Indeed, since its introduction to the public, cryptocurrency has been the subject of some wild conjecture, including rumours about its potential to destabilize the economy, but Cole Diamond is quick to dismiss these as baseless and unfounded. “A lot of skepticism around crypto comes from misinformation or exaggerated fears of volatility,” he explains. “At this point, Crypto has proven itself to be perfectly legitimate, to the point where even some of the world’s premiere central banks are openly discussing keeping some as a strategic reserve.”
As regulatory frameworks around cryptocurrency continue to evolve and financial education on the subject becomes more widespread, Cole Diamond predicts that crypto will become even more mainstream than it already is—and sooner rather than later. This sort of seismic shift, however, hinges on making the majority of the public feel confident about the safety and utility of digital currencies.
“It’s an unfortunate reality that fear of the unknown can work to keep people on the sidelines,” says Diamond. “That’s why financial literacy must take center stage. Unquestioningly, it’s the key to empowering people to open their minds and confidently explore the full potential of cryptocurrency.”