- Wealthy Brits are more likely to prefer traditional investment options over digital assets.
- This could be due to a lack of understanding about cryptocurrencies and their volatility.
Most British people are skeptical about investing in digital currencies despite their growing popularity globally. That was recently corroborated in a BanklessTimes.com report that revealed only 10% of them have bought crypto assets.
When analyzed by Brits with investable assets worth over £100k, the picture gets even bleaker, with only 3% considering cryptos as viable investments. Meanwhile, 35% of them prefer holding their cash in savings accounts instead. Another 21% prefer UK stocks and shares, while 19% choose residential property investments.
Wealthy Brits Distrust Digital Assets
According to BanklessTimes CEO Jonathan Merry:
BanklessTimes CEO, Jonathan Merry
Additionally, Britain’s low enthusiasm for crypto assets could be rooted in the lack of knowledge surrounding cryptocurrencies. The BanklessTimes.com data presentation suggests that only 20% know someone who has purchased crypto assets previously, while 66% have never bought any.
As with many things related to finance, knowledge is critical when it comes to successfully investing in digital currencies. Those who don’t understand how they work may feel uneasy about putting money into them. Furthermore, due to its newness, there could be limited guidance on how to invest wisely in these markets and the legal issues surrounding them.
Another factor that could have contributed to this pessimistic outlook is the lack of regulation surrounding virtual currencies. The UK government has yet to implement meaningful legislation that would provide greater protection to customers using such services and create trust within markets.
Furthermore, during recent times there has been significant volatility within the crypto market which could also explain why more people have been discouraged from investing in digital assets due to fears around price fluctuations. For example, Bitcoin has lost almost 50% of its value since its peak at the end of 2021.
BTC Has the Highest Brand Awareness in the UK
That said, it should also be noted that although current levels are low, public opinion on crypto assets could change depending on factors such as regulatory changes, security advancements, or increased use cases. These would make crypto assets prove themselves worthy investments over time, increasing their uptake.
Bitcoin (BTC) remains the undisputed cryptocurrency champion when it comes to brand awareness among British crypto enthusiasts. According to an online study, Bitcoin was recognized by 76% of respondents, while Ethereum (ETH) and Dogecoin (DOGE) followed at 33% and 32%, respectively.
Bitcoin’s popularity in Britain isn’t all that surprising. The king crypto has a wide adoption globally, reliable trading history, and a secure blockchain network. However, altcoins, including ETH and DOGE, are quickly gaining momentum for their unique features, such as smart contract capabilities and better transaction times.
