Americans feel the pressure of higher living costs, but are not stepping out of crypto.
A new study from Visa Inc. on spending during the holidays shows that interest in digital assets as gifts is growing, even as inflation limits disposable income and makes consumers cautious. This difference shows how families adapt when money becomes tighter.
Inflation is cooling, but budgets remain tight.
Inflation has decreased since the peak after the pandemic, but prices are still high for basic needs such as housing, food, insurance, and utilities.
Wages have generally kept pace with inflation, preventing a sharp decline in purchasing power. Still, there is little room to maneuver.
After fixed costs and necessities have been paid, many households have less money left to invest or spend freely than before 2022.
This does not mean that people completely stop spending, but it does change their behavior. Consumers are starting to shop earlier, comparing prices more accurately, and using technology to get more out of every dollar.
Financial confidence is still fragile, but people continue to participate in the economy. This caution is reflected in their spending and the things they buy.
Research from Visa in December shows that 28% of Americans would like to receive crypto as a gift for the holidays or as a Christmas gift. Among Gen Z, that even rises to 45%.
It's not about luxury. People are choosing assets that feel flexible, are digital, and may remain valuable in the long term.
At the same time, 47% of American shoppers say they are using AI tools to help with their holiday purchases, especially to find gift ideas and compare prices. This shows that consumers are looking for efficiency and not for more spending.
Younger buyers are leading the way. For example, Gen Z reports using crypto payments, digital wallets, biometric verification, and cross-border shopping more than other age groups.
For them, crypto naturally fits into their digital financial identity.
The data shows that crypto gifts do not displace basic necessities. They actually replace traditional extras now that consumers are more selective.
What this says about the American economy
The combination of lower inflation and ongoing budget pressure indicates a cautious but stable economy.
Americans are not pulling back, but adapting. People continue to spend, especially on tools and assets that promise efficiency, choice, or future benefits.
The fact that crypto is increasingly given as a gift, despite less disposable income, shows that it is becoming more normal. It's now less about hype.
This also explains why digital assets remain interesting, even when people are mindful of their spending.
For the markets, the message is clear: inflation may be declining, but confidence is not fully back yet.
In this situation, technology and alternative assets are taking the place that was once filled by traditional purchases.
Americans may feel cash-strapped, but they still cautiously believe in the future.
