June 17, 2021, | AtoZ Markets– Research published by the FCA estimates that 2.3 million adults now hold cryptoassets (up from 1.9 million last year). 78% of adults have now heard of cryptoassets, up from 73% in a year.
Enthusiasm for cryptoassets is growing with over half of crypto users saying they have had a positive experience so far and are likely to buy more (rising from 41% to 53%).
Fewer people also regret having bought cryptocurrencies, down from 15% to 11%.
Overview of Key Findings
- The profile of cryptocurrencies has risen – 78% of adults said they have heard of cryptocurrency, up from 73% in a year, but overall understanding of cryptocurrency has declined.
- Our estimate for consumers holding cryptocurrency has risen to 2.3 million – from 3.9% to 4.4% of adults.
- The median holding has risen from £260 to £300.
- The profile of crypto users is broadly unchanged from what we outlined in 2020 – largely male, over 35, and at AB social grade.
- Most consumers continue to use an exchange to purchase their cryptocurrency and use their own disposable income to pay for it.
- More consumers are checking their balances every day (up from 13% to 29%).
What else did the FCA survey say?
One out of ten peoplewho had heard of cryptocurrency said they are aware of consumer warnings on the FCA website. Of these, 43% said they were discouraged from buying crypto.
Most consumers recognise that crypto investments are not protected, although 12% of crypto users believe otherwise.
Sheldon Mills, FCA’s Executive Director, Consumers and Competition said: ‘The research highlights increased interest in cryptoassets among UK customers. The market has continued to grow, and some investors have benefitted as prices have risen.’
Bitcoin Is the Most Popular Cryptocurrency in UK
The FCA study also mentioned that UK consumers are significantly aware of Bitcoin (BTC) over other cryptocurrencies on the market, 82% of those surveyed know a cryptocurrency, and 70% recognized only Bitcoin, corresponding to 15% more than in 2020, according to the study.
“It seems likely that many adults who have now heard of cryptocurrencies are only familiar with Bitcoin,” stated the FCA.
The Bitcoin owners were more likely to identify the correct definition of cryptocurrency than consumers who own only non-Bitcoin cryptocurrencies (96% vs 81%); they also showed greater willingness to buy cryptocurrency in the future.
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