According to a report published in 2022 by the World Economic Forum, only 12% of those working in the crypto industry are women. The gap is even more shocking at the leadership level, with only 3% of CEOs and 5% of board members of crypto companies being women. So, why is there such a disparity between genders in the crypto industry? Especially when the whole ethos of crypto revolves around diversity, inclusion, and fairness.
Crypto is the love child of the finance and technology industries, both of which are traditionally male-dominated. As a result, from the beginning, there have been fewer women in the industry, which is a challenge for women wanting to work in the crypto industry.
This has resulted in a lack of female role models in the crypto space. Not having any high-profile women leaders means other women cannot visualise themselves working in the industry and don’t apply for positions in the field.
The industry is still early on in its development, and the culture is not conducive to the inclusion of women. Many see a ‘bro culture’ evolving, which women don’t feel is a safe space, and believe they could face discrimination and harassment similar to that experienced in the insurance industry. Social media is a delivery channel for this behaviour, creating an unwelcoming environment.
By learning from the development of more established industries and addressing a lack of representation of women, crypto companies can improve their performance and keep their investors happy. Many studies on diversity have shown the benefits of having a diverse workforce.
Introducing a more comprehensive range of perspectives and experiences results in a much more diverse and balanced decision-making process. Diversity positively impacts decision-making and opens up the opportunity to look at risk differently.
Studies have shown that more diverse teams make better decisions and having women in leadership positions can lead to more effective decision-making processes due to strong analytical skills, risk management abilities, and collaborative leadership styles.
Adding a range of experiences enables decision-makers to consider all the outcomes and find the best solution. Positive-biased can have a negative impact on businesses, a range of viewpoints more often or not results in business growth.
Women are often underrepresented in STEM fields, a study by Massachusetts Institute of Technology (MIT), found that in 2023 women make up only 28% of the STEM workforce. These industries are missing out on the input, creativity, and varied experience of women experts. Encouraging more women to consider crypto as a viable career path presents an opportunity to create new and innovative products and services.
Unfortunately, women are more likely to be less financially literate than men. By encouraging more women to work in the industry, companies can design products and services that resonate with other women, who are known to have different needs to men when it comes to financial products. This inclusive approach can broaden the appeal of crypto and attract more women to the industry.
In the UK in 2022, the most significant pay gender gap was in the financial and insurance sector, at a whopping 31.2%. Therefore, the first issue to address to get more women into the industry is the disparity in pay. Other ways to attract women include:
Being transparent about the composition of your workforce: calling out the issues the data exposes, including gender, seniority, and gender pay gaps, to then address them.
Creating a more welcoming environment: that is less male-dominated, addresses unconscious bias and has favourable policies supporting women’s participation.
Katharine Wooller, Business Unit Director at Coincover, believes a more welcoming environment is essential to attracting more women to crypto.
“There has been an exodus of women from TradFi to crypto as crypto is seen as more dynamic, offering benefits that result in a more welcoming and inclusive workplace. Providing flexibility around working hours, a flat management structure and women-positive policies such as a menopause policy allow women to manage their work life balance effectively, while removing common barriers to career progression.”
Identify barriers to gender diversity and create an actionable plan to address them: including diversity training, mentoring, creating flexible working practices and transparent hiring processes. It will create a respectful, inclusive workplace and motivate positive attitudes and behaviours. Reputationally, this will attract more women.
Designing educational resources for women: crypto educational resources are currently biased towards men (logical, as there are more men than women in the industry). The Women In Crypto hub signposts a whole range of initiatives and resources that are designed with women, who are embarking on digital finance journey, in mind.
Increasing the visibility of women who are leading the industry: publicly highlight women’s accomplishments and provide networking opportunities to help them connect with their peers. By encouraging more women to get involved, crypto can be a more diverse, innovative, and inclusive industry and build a stronger economic future.
Employing more women in the crypto industry and embracing gender diversity can prove to not just be fair, but also a strategic move that can drive long-term success and sustainability for the industry as a whole. Coincover is committed to building a diverse, equitable and inclusive culture and is always looking for individuals who want to help make cryptocurrency safe for everyone. Check out our current open roles.