New data reveals that an eye-opening number of Brits invest in cryptocurrency, suggesting our nation has a big appetite for digital assets.
So what else do the stats show us? And how does Britain compare with other countries? Let’s take a look.
What is cryptocurrency?
Cryptocurrency is defined as a digital medium of exchange, whereby holders can trade digital coins with each other. Many cryptocurrencies use blockchain technology. This refers to a digital database used to store and record trades.
Cryptocurrency is often decentralised too, meaning that, unlike traditional fiat money, no central bank issues or controls the supply. Some of the most popular cryptocurrencies include Bitcoin, Ether, Dogecoin and Solana.
How many Brits invest in cryptocurrency?
According to BrokerChooser, 4.95% of the British population invest in cryptocurrency. This percentage is very high when compared with those of other nations involved in the study. In fact, the UK claims the highest percentage of cryptocurrency investors in Europe and ninth place overall.
The top three counties with the highest percentage of crypto users include Ukraine, Russia and India.
What else did the data show?
The United States has had the largest number of searches for the term ‘cryptocurrency’ over the past 12 months, with almost seven million American’s keen to find out more about digital currency. To calculate this, BrokerChooser looked at the total searches over the last 12 months for crypto-related searches, including ‘cryptocurrency’, ‘what cryptocurrency to invest in’ and ‘cryptocurrency trading’.
Interestingly, us Brits were not far behind American users, with more than two million searches recorded over the past 12 months. When accounting for population, the UK recorded 305 total crypto searches per 10,000 people – the fifth-highest total overall, and higher than the USA (208 per 10,000 people).
In terms of the number of crypto owners, the data reports that around 3.3 million Brits hold cryptocurrency in some form. While 3.3 million may seem like an impressive figure, it’s a long way off India, where over 100 million people own digital currency!
How did the UK rank under ‘crypto awareness’?
According to BrokerChooser, the UK has a ‘crypto awareness’ score of 4.54 out of 10. This score ranks Brits a respectable sixth in the world with regard to cryptocurrency knowledge. Nations with higher scores included Ukraine (7.97), Russia (7.46), the United States (6.03), Kenya (5.5) and South Africa (4.82).
To calculate these scores, BrokerChooser used its own user data as well as Triple A’s Crypto Across the World report, and the Chainalysis’ 2020 Geography of Cryptocurrency report.
Will British interest in cryptocurrency continue to grow?
BrokerChooser’s data shows us that Brits have a strong interest in crypto assets. Yet it’s very uncertain whether this will continue in future.
Recently China decided to ban bitcoin transactions, sparking fears of a crash among crypto users. On a similar note, earlier this year the Bank of England said that anyone who buys digital crypto assets should be prepared to lose all of their money.
It’s also fair to say that the sheer volatility of cryptocurrency is the reason why many see buying digital money as closer to gambling than investing.
To learn more about digital money, see our article that explains why cryptocurrency is important.
The content in this article is provided for information purposes only. It is not intended to be, neither does it constitute, any form of investment advice. Bitcoin and other cryptocurrencies are highly speculative and volatile assets, which carry several risks, including the total loss of any monies invested. Readers are responsible for carrying out their own due diligence and for obtaining professional advice before making any investment decisions.
Was this article helpful?
YesNo
About the author
Karl is a writer specialising in investing and personal finance content. He regularly contributes articles on savings, bank accounts, mortgages, and loans. He was previously a Personal Finance Writer for MoneySavingExpert.
Investing in Cryptocurrency is extremely high risk and complex. The Motley Fool has provided this article for the sole purpose of education and not to help you decide whether or not to invest in Cryptocurrency. Should you decide to invest in Cryptocurrency or in any other investment, you should always obtain appropriate financial advice and only invest what you can afford to lose.
This post was originally published on Motley Fool
