A new survey has reveled that roughly 115 million crypto investors in India either currently hold crypto or have traded crypto in the past six months, accounting for 15 per cent of the Indian population aged 18 to 60 years.
According to KuCoin’s ‘Into the Cryptoverse, India’ survey, 54 per cent of those who have dealt with crypto in past six months are hopeful of gaining long-term ROIs. The report indicates that younger investors, i.e., those below the age of 30, recognise the long-term value of crypto. Another 10 per cent of Indian adults are crypto-curious consumers planning to invest in crypto in the coming six months.
Compared to the average, there are fewer younger investors who are going in for short-term gains. The report further highlights that 56 per cent of investors believe crypto to be the future of finance, and 52 per cent invest in crypto to earn passive income that can help them improve their quality of living.
The overall market downturn has also impacted sentiment, as reflected in the preference of an increased share of investors to keep the same amount of crypto rather than invest more in it. However, more than half of crypto investors still intend to increase their investments in crypto in the coming six months.
When it comes to the hurdles of crypto investment, a lack of sufficient knowledge of the crypto market is reflected by 41 per cent of respondents who state that they are not sure which types of crypto investment products to choose, and 37 per cent have difficulty managing the risk of their portfolios, and 27 per cent have trouble predicting the market directions and values of crypto. 21 per cent are not clear about how crypto works.
The report suggests that the ambiguity in government regulations has been a critical factor deterring potential investors. 33 per cent report that government regulation is a concern when considering investing in crypto. The safety of investing in crypto is also a concern for many, as 26 per cent worry about hackers being a threat, and 23 per cent fear that they may not get their money back in case of security incidents.
Indian demographics reflected in the survey reveal that in the first quarter of 2022, 39 per cent of crypto investors are aged 18 to 30, up 7 per cent from the previous quarter, suggesting that the number of young crypto investors is growing faster than their more mature counterparts.
The fresh young blood is bringing more dynamism into the crypto market. 39 per cent of young crypto investors below the age of 30 are first-time crypto investors who only started trading over the past three months.
The survey also shed light on investor motivations, highlighting that:
●56 per cent of crypto investors believe crypto is the future of finance
●54 per cent believe crypto will bring them a higher return on investment in the long run
●52 per cent invest in crypto to gain passive income and improve the quality of living
●Only 24 per cent of young investors consider crypto a hype for fun
●43 per cent are going for the short-term gains
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