There are multiple ways to lose money. You could drop your wallet on a crowded train or forget the combination to your painting-guarded safe. In the modern age of cryptocurrency, you can lose money by just forgetting your password. As it turns out, that's exactly what's been happening.
Cryptocurrency owners keep forgetting passwords
A new study conducted by cryptovantage, via Finbold, has revealed that cryptocurrency owners are often forgetting passwords. In a survey of 1,000 crypto investors, 39.7% of them admitted to forgetting the password to access their investments.
On average, investors who could not recover their passwords lost around $2134. However, most of those who initially forgot their passwords were able to recover them with time. The success rate of recovered passwords is remarkably high, alleviating the fears of crypto users.
Out of the 39.7% of password forgetters, 95.6% were able to regain access to their devices/accounts. Furthermore, out of those 95.7%, 85.7% regained access via a recovery service. The ability to somehow regain access is improving trust in the digital currency market.
The market is volatile
In the past few months, the cryptocurrency market has been a rollercoaster. After the EU and China announced methods to regulate the digital currency, multiple currencies saw a massive drop in value. Just a few months ago, Bitcoin's high of $62,000 dropped below $30,000, less than half of its boom value.
Despite this, many forms of crypto are back on the rise, but stricter regulation is coming. As it stands, the market’s volatility is still very apparent. At the time of writing, Bitcoin is slowly regaining value. While still a ways off its high, it has increased to $38,990.