Decentralized finance and cryptocurrency are having a significant impact on the way we think about money, investments, and financial transactions. However, as with all emerging technologies, DeFi applications still struggle with creating a smooth user experience to encourage adoption, especially when it comes to crypto wallets.
To gain a better understanding of the challenges and opportunities of using crypto wallets, we conducted a survey to hear from people who use them.
In this blog post, we explore the survey results and examine what they tell us about the current state of crypto wallets.
1. What particular aspects of blockchain products have caused you significant difficulties when learning how to use them?
According to the results, different networks (19.88%), investment strategies (16.27%), and onboarding/access (13.25%) were the most significant difficulties when learning how to use blockchain products.
2. What features or capabilities would improve your satisfaction with crypto wallets?
The survey shows that the most desirable features for crypto wallets are the ability to pay for everyday items (35.96%), easier onboarding and avoiding risk of losing key (24.56%), and the ability to invest with ease at low-risk (26.32%).
These results indicate that most users are looking for a more user-friendly and convenient experience when using crypto wallets.
Are you looking to develop a crypto wallet with seamless and familiar UX? Check the RIF Wallet open-source framework guide for developers.
3. What is your main motivation behind using blockchain technology?
The survey results revealed that the main motivations behind using blockchain technology are freedom from government (45.31%) and inflation protection (23.44%).
These results suggest that people, especially in underserved and unbanked communities, are looking for an alternative to traditional financial systems and seeking a more stable currency option.
4. How would you like to prevent errors when dealing with crypto addresses, like sending funds to an incorrect address?
The survey results showed that the majority of users would prefer using nicknames and/or avatars instead of addresses (65%) in order to prevent errors when dealing with crypto addresses.
This suggests that users would like a more intuitive and user-friendly experience when dealing with crypto addresses.
5. What do you struggle with the most when it comes to saving in crypto?
The survey results showed that the most significant struggles when saving in crypto are not having enough capital to save (33.33%) and paying with saved stablecoins (28.57%).
This suggests that users may be hesitant to invest significant amounts of money in cryptocurrencies due to perceived risks and a lack of understanding and education about the industry.
6. How significant is the capability to conduct everyday payments with your wallet to you?
The survey results revealed that the capability to conduct everyday payments with a crypto wallet is the most important feature of a crypto wallet to over half (54.69%) of users, indicating a growing demand for a more practical and accessible crypto experience.
7. What are your current pain points or barriers to sending remittances/funds globally in crypto?
The survey results showed that the main pain points or barriers to sending remittances/funds globally in crypto are bad exchange rates (22.78%) and fear of being tracked by the government (17.72%).
This suggests that users are concerned about privacy and transparency when using cryptocurrencies for global transactions.
8. How significant is the capability to grow your capital using crypto for you?
The survey results revealed that the capability to grow capital using crypto is significant to nearly half (46.88%) of users, suggesting that people are increasingly looking to cryptocurrencies as an investment option.
9. Which of the following capital growth opportunities are you interested in?
The majority of users prefer staking cryptocurrencies (23.26%) and stablecoins (19.19%). This preference is followed by wanting to make smaller investments on an ongoing basis (11.63%) and having the opportunity to take crypto loans (11.63%).
This indicates that users are looking for wallet features that enable them to earn rewards and benefits from their holdings, such as staking, lending, and dollar cost averaging..
Recommendations to improve user experience
Looking at the survey results we can see that users are not only interested in finding alternatives to traditional banking applications but are looking for more ways to maximize the value of their crypto assets. However, due to a lack of education and difficult onboarding experience, users are still hesitant to take advantage of these opportunities.
Therefore, to improve user experience and drive adoption of wallets, businesses must understand the need to address users’ concerns, and this can be done by:
- Simplifying onboarding: Many users reported difficulties with the onboarding process, particularly when it comes to creating a wallet and keeping their private key safe. Wallet providers can improve onboarding and wallet creation by making it simpler and user-friendly.
- Providing educational resources: Some users reported difficulty with understanding the terminology and concepts related to blockchain and DeFi technology. Wallet providers can address this by providing educational resources such as tutorial videos, glossaries, and FAQs.
- Enabling easy and low-risk investing: Users expressed a desire for low-risk investment opportunities within their wallets. Wallet providers can incorporate features such as staking, dollar-cost averaging, and crypto lending to enable users to grow their capital safely and easily.
- Enabling everyday payments: Users expressed a desire to be able to pay for everyday items with crypto wallets. Wallet providers can incorporate features that enable users to pay for goods and services with stablecoins, for example, by partnering with merchants or payment providers.
- Improving customer support: Users indicated that they value good customer support. Wallet providers can improve the quality and availability of customer support by offering live chat, email support, or phone support.
The data was collected using an online survey consisting of 57 questions about crypto wallet use cases, challenges, and user preferences.
The sample size of this study was limited to 70 respondents. Future research will expand the sample size and use a more diverse sampling method to increase the generalizability of the findings.