While cryptocurrency has surged in both relevance and popularity, many Americans remain puzzled by what it is and how safe of an investment vehicle it can be.
“We are here to try to demystify a lot of this,” said Kevin Harris, the owner of Crypto.com and a panelist at the 54th Congressional Black Caucus Foundation Annual Legislative Conference’s issue forum “Beyond the Bank: Digital Assets and Financial Inclusion in Black America on September 24. “There is a lot of interest in this in the Black community.”
Harris was on the panel with Cleve Mesidor, the executive director of the Blockchain Foundation. Talking about the work advocates like he and Mesidor must do to educate the African American community on cryptocurrency, he said outreach on their part is a must.
“We are responding and engaging with Black organizations on digital currency,” he said.
Cryptocurrency, also known as crypto, is a form of digital currency. The dollar, euro, and yen respectively are all printed by national banks while crypto is not reliant or dependent upon a bank or country to print additional currency or maintain the value of the currency.
Bitcoin is the most well-known cryptocurrency, first developed in 2008 and first issued in January 2009. One bitcoin was worth 1 cent on February 22, 2010 and is now worth over $100,000. Wyoming issued the first state stablecoin in August, and some banks are already issuing stablecoins.
During President Donald Trump’s second presidential term, cryptocurrency has become a major topic, from the DOGE coin launched the weekend of his inauguration, to an August executive order allowing employees to invest their retirement savings into cryptocurrency, and additional federal regulations enacted under the GENIUS Act.
“We are very excited about the GENIUS Act,” said U.S. Sen. Angela Alsobrooks (D-Maryland), who led, “Seizing the Moment: Empowering Black Entrepreneurs and Small Businesses Through AI, Digital Innovation and Venture Capitalism” issue forum on Sept. 25 at the 54th Congressional Black Caucus Foundation (CBCF) Annual Legislative Conference (ALC). “This summer, we debated the GENIUS Act in the Banking Committee, of which I am a member.
The Debate Over Crypto
While tapping into crypto can be lucrative, there are many regulation and oversight questions about the digital currency.
“There was vigorous debate from both sides of the committee room on how to regulate these technologies and eliminate fraud,” said Alsobrooks about the GENIUS Act, “but no one left until we resolved our differences.”
Some experts, including former hedge fund head Warren Buffett, argue that cryptocurrency is inherently a speculative bubble— a rapid rise in asset prices as a result of irrational investor behavior and expecting future price increases— due to limited guardrails and consumer protections.
Crypto has experienced several speculative bubbles within the past 15 years, significantly more than Wall Street.
“Crypto assets have experienced higher levels of volatility relative to more traditional investment assets, meaning that price swings— and any investment value— may go up and down dramatically and unpredictably, and the risk of losing all of your investment is significant,” according to the Financial Industry Regulatory Agency (FINRA). “Crypto assets are also less liquid than more traditional financial instruments like stocks and bonds, which can exacerbate price volatility and make it more difficult to sell.”
In addition, D.C. Attorney General Brian Schwalb recently filed a lawsuit against bitcoin ATM operator Athena for allegedly profiting from fraud and scams targeting the elderly.
“Athena’s bitcoin machines have become a tool for criminals intent on exploiting elderly and vulnerable District residents,” Schwalb said.
An investigation by his office found that more than 90% of all deposits made at Athena ATMs were the result of scams.
“Athena knows that its machines are being used primarily by scammers yet chooses to look the other way so that it can continue to pocket sizable hidden transaction fees,” the report continued.
Further, crypto assets are significantly more concentrated among the wealthy than traditional assets.
“A growing share of Bitcoin’s circulating supply is now concentrated in the hands of major institutional players and centralized entities,” authors report in a June 2025 study by Cryptoslate. “According to our findings, over 30% of Bitcoin’s supply is now controlled by just 216 centralized holders across six key categories, including crypto exchanges, ETFs and funds, publicly traded companies, privately held firms, DeFi protocols, and government bodies.”
Black Consumers More Likely to Own Cryptocurrency
Recent polling shows that Black and Latino consumers are more likely to engage with cryptocurrency, than white consumers.
“Unlike white consumers, Black consumers are in fact more likely to own cryptocurrencies than assets such as stocks and mutual funds. Our data suggests that Black consumers have a higher ownership rate for cryptocurrency than for stocks and mutual funds,” according to a 2022 report from the Federal Reserve Bank of Kansas City on Black cryptocurrency ownership trends. “In contrast, white consumers have a higher ownership rate for stocks than for cryptocurrency.”
While some forms of cryptocurrency including Bitcoin have massively increased in value over past years, some experts warn that they are a risky long-term investment. The collapse of trading markets giant FTX and other crypto market liquidations can render assets completely inaccessible, akin to consumers during the Great Depression bank failures.
“Cryptocurrency, or crypto, is virtual or digital assets purchased with real money ($, £) traded on blockchain technology. It does not have all the values of real or fiat currencies. Cryptocurrencies, like Bitcoin and Ethereum, are different from stocks and real money,” according to a warning from the District of Columbia Department of Insurance, Securities, and Banking (DISB). “Crypto is not regulated like stocks or insured like real money in banks. Crypto’s high risks can offer big rewards or huge losses.”
If investing in cryptocurrency, economists suggest using it as one option in a diverse investment portfolio, while tech experts emphasize maintaining strong cybersecurity measures to keep digital currency safe from hackers and regulators from across the globe have urged for more consumer protections.
Harris understands that many African Americans are new to the cryptocurrency dialogue and more engagement and education is needed to understand it.
“Think of this as technology to help do things more efficiently,” he said. “It’s just technology.”
Mesidor emphasized cryptocurrency offers African Americans a new way to view money.
“We have the opportunity to be a part of a new financial system that is more diverse and open,” Mesidor declared. “We have the chance to negotiate the terms of engagement.”