Key Takeaways
- Americans earning over $100,000 are three times more likely to own a self-custody wallet than those earning $40,000 or less.
- Usability and confidence are identified as the primary barriers to mainstream Web3 wallet adoption.
- Only about one in four U.S. adults perceive Web3 wallets as easy to set up.
The Growing Divide in Crypto Wallet Ownership
A noticeable disparity is emerging among cryptocurrency wallet users, with wealthier individuals three times more likely to adopt Web3 wallets compared to the general population, despite the latter potentially gaining more from their advanced features.
This raises questions about whether wealth, lifestyle, culture, or other factors contribute to this trend.
Petr Kozyakov, co-founder and CEO of Mercuryo, a Web3 payments firm, shared insights from a recent report on crypto wallet ownership. The report highlights that only 12% of U.S. adults currently use self-custody wallets, placing them in a niche category.
Understanding the Barriers to Web3 Wallet Adoption
According to Kozyakov, the lower adoption rates don’t necessarily indicate a rejection of the technology, but rather that many people just don’t yet see where they (Web3 wallets) fit in their financial lives. He also noted that increased visibility and familiarity, with 16% of Americans having seen a crypto wallet used in real life, act as powerful trust signals.
Kozyakov emphasizes that the lack of interest isn’t due to disinterest in self-custody itself, but rather the absence of simple, safe, and secure use cases that resonate with users.
However, a significant factor remains unaddressed: the wealth disparity in wallet ownership. The Mercuryo report revealed that individuals earning $100,000 or more are three times more likely to own a self-custody wallet than those earning under $40,000.
“It’s a paradox. The groups that stand to benefit most from tools such as Web3 wallets that can help enhance financial autonomy appear to be the least likely to access them.”
Kozyakov believes that the crypto space risks mirroring the financial inequalities present in traditional finance.
“The message for the industry is clear in our opinion; if tools such as non-custodial wallets are meant to empower people, they have to be designed in a way that makes their use intuitive and accessible to all.“
Despite the low adoption numbers, Kozyakov points out that approximately a quarter of the survey respondents believe Web3 wallets offer a meaningful benefit over other digital wallets. He explains that users recognize the appeal of financial independence through engagement with DeFi and tokenized assets, bypassing traditional banks and intermediaries.
“For these users, ‘meaningful’ means control, transparency, and global reach. But for the majority, those benefits can still feel abstract.“
The next crucial step, according to Kozyakov, is to transform this autonomy into everyday convenience by demonstrating how Web3 wallets can simplify transfers, savings, and earning, thereby increasing financial freedom.
Overcoming User Hesitancy with Web3 Wallets
If the potential benefits of Web3 wallets are so compelling, what is preventing wider adoption among everyday users?
Kozyakov identifies usability and confidence as the primary obstacles. He describes a gap between technical readiness and user readiness, where the Web3 infrastructure exists but may not meet the expectations of users who desire seamless functionality.
Users are not seeking complex solutions; they expect an experience comparable to traditional financial applications.
“Only around one in four adults believe Web3 wallets are easy to use after setup, and many fear losing funds if they make a mistake.”
Kozyakov also suggests a psychological barrier, where some individuals may be hesitant to take on the full responsibility of managing their own assets.
He proposes that next-generation crypto wallets should focus on intuitive design, built-in safety nets for user protection, and more efficient on- and off-ramps to create simple, self-custody solutions.
The report indicated that 83% of wallet users consider easy, reliable, and fast on-ramping essential, with 90% desiring multiple options for funding their wallets.
“Even the most user-friendly wallet can lose people if it’s too hard to move money in or out. If we want wallets to feel like real financial tools, not experiments, seamless on and off-ramps are a foundation component.”
Furthermore, fragmented regulations and policies surrounding crypto create compliance gaps, making it challenging for companies to establish seamless cross-border experiences.
Kozyakov concludes that mainstream adoption will continue to face hurdles until these technical, psychological, and compliance gaps are addressed.
“When people can experiment safely and see real, practical value, adoption will grow naturally.”