Investors in the UK are bullish on bitcoin despite market troubles

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A third of UK retail investors want to invest in cryptocurrencies but feel they don’t know enough about the asset class.

Investors in the UK are bullish on bitcoin despite market woes

Image source: BitcoinBull / wuestenigel / CC BY 2.0.

The largest survey on investor attitudes towards cryptocurrencies reveals that retail investors in the UK are hungry to enter the cryptocurrency market.

In a global survey commissioned by cryptocurrency exchange Bitstamp, the newly released results show that 40% of British investors surveyed have invested in cryptocurrencies.

This compares with the 52% recorded by retail investors located in the broader European market.

Although two-fifths of UK investors say they have invested in cryptocurrencies, 31% said they would like to invest in cryptocurrencies but feel they don’t know enough.

According to Bitstamp, the top three barriers to entry into the UK include a lack of knowledge of cryptocurrencies (55%), uncertainty about which platforms to trust (40%) and the fear that the risks associated with cryptocurrencies were too high for the their appetites (36 percent).

However, nearly half of all UK respondents reported that they would feel comfortable paying for everyday items like groceries and clothes with cryptocurrencies, an increase from 41% in the first quarter of 2022.

That said, more than a fifth of respondents did not feel that the cryptocurrency market was sufficiently regulated and that they turned to regulators and the government to double oversight of the nascent sector.

“Despite recent market challenges, investors in the UK still want to learn more about cryptocurrencies. We believe education is the way forward to drive traditional cryptocurrency adoption,” said Jean-Baptiste Gratfieaux, Chief Executive Officer global Bitstamp.

In keeping with this philosophy of educating retail investors, Bitstamp has launched its “Summer of Discovery” program to help new retail users in its trading platform.

Initiatives include offering 0% trading fees, launching its Apple Pay and Google Pay integrations, and expanding its “Learning Center”.

Bitstamp isn’t the only company looking to attract new investors by streamlining its onboarding processes and offering educational initiatives.

In July, Revolut launched its crypto-education feature on its app, offering customers rewards for completing short courses in cryptocurrency and blockchain technology.

Customers are offered Polkadot Tokens (DOT) for completing each course, with an additional amount called DOT for completing the final quiz.

After the pandemic, bitcoin’s correlation with traditional stocks and indices grew significantly, signaling a maturing market.

Although the growing correlations are being driven by institutional investors, a study by Raphael Auer and David Terzo-Lucas for the Bank of International Settlements found that a maturing crypto infrastructure and traditional accessibility were key to adoption at the detail.

By having payment service providers like Revolut and PayPal offering cryptocurrencies to non-crypto native investors and exchanges like Bitstamp focusing on educating its new users, the retail audience has grown.

In a study conducted by blockchain risk analysis firm Chainalysis in 2021, the UK ranked # 1 for crypto activity in Western Europe.

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