Hold on to your crypto wallets, folks. A new survey by the Federal Reserve paints a different picture of cryptocurrency ownership in the US compared to what some might have you believe.

The Fed's "Survey of Household Economics and Decisionmaking" (SHED) reveals a significant decline in crypto usage. In 2023, only 7% of US adults reported using crypto, down from 10% and 12% in the previous two years. That translates to roughly 18 million Americans – a far cry from the whopping 52 million figure touted by cryptocurrency exchange Coinbase.

But wait, there's more. The survey also exposes a deep divide between reported usage and actual transactions. Only 1% of respondents used crypto for payments, a 50% drop from 2022. This suggests a shift away from everyday transactions and more towards crypto as an investment (7% reported holding crypto as an investment).

So, where does Coinbase's rosy statistic come from? The exchange has remained tight-lipped about its methodology.

The Fed's findings also shed light on demographics. Millennials and Gen Z lead the crypto user pack, with men three times more likely to be involved than women. Interestingly, Black and Hispanic adults are more likely to use crypto for transactions, while Asians favor it as an investment. White adults, on the other hand, seem to be steering clear altogether.

This decline in usage comes amidst a growing political influence of cryptocurrency. A well-funded crypto PAC, Fairshake, is making waves by spending millions to sway Senate races. This aligns with a growing public sentiment – a recent poll suggests 73% of US voters believe presidential candidates should be informed about crypto.

The takeaway? Crypto might not be the mainstream phenomenon some portray. While it holds political clout, the Fed's survey suggests a more cautious reality for everyday Americans.