The Crypto Hyper Adoption Phase

Analysts, experts, and financial institutions are all deeply invested in the crypto market, wondering if it can be both profitable and functional. Recently, Wells Fargo ($WFC@US) argued that cryptocurrencies “are viable investments today.” Analysts from the Global Investment Strategy team at the bank reported that buying into crypto now is a good idea because digital assets are reaching what is known as a “hyper adoption” phase similar to the Internet in the early 2000s. The report from Wells Fargo stated, “we understand the ‘too late to invest’ argument but do not subscribe to it. We believe that focusing too much on past performance, especially with cryptocurrencies, can be misleading to new investors.” Data from Crypto.com underscores their argument, showing that global crypto usage reached 221 million people in June of 2021, with that number sitting under 3% of the world population. The implication, of course, is that there is plenty of room for adoption. Comparing crypto to the Internet, the report also notes, “by 2010, worldwide Internet use had grown to 1.98 billion and today it sits at 4.9 billion,” meaning that crypto is nearing the point where adoption numbers simply will not stop growing. At press time, Wells Fargo stock was trading at just over $59 with an increase of nearly 1.5% in early trading.