According to a new study by Rathbone Investment Management, Londoners are extremely excited when it comes to investing in cryptocurrency, especially when compared to the rest of the country. 12% of UK respondents nationwide have expressed interest in a cryptocurrency investment, which is quite low when compared to the fact that 30% of Londoners were planning to do the same. The survey included findings from over 1500 respondents.
Robert Hughes-Penney attributed some of the findings to both media and demographics, suggesting that media outlets have publicized the incredible returns that one would have had should they have held on to bitcoin long-term, and stating that it is clear that many younger people were looking to cryptocurrency investments as a short-term gain, calling them “more susceptible to the so-called bitcoin craze”.
The age disparity in the findings is telling, as 37% of adults under 35 responded that they were interested in investing in digital assets, while only 4% of those above 45 were thinking about doing so. It should also be noted that London is a global financial center when it comes to traditional finance, as well, and is widely considered the single most important city in global finance, although new research suggests that Brexit might put its #1 position in jeopardy.
This certainly fits the narrative that younger people are much more interested in digital assets, rather than older individuals, who might not like the volatility of the cryptocurrency markets when it comes to preserving their wealth. A survey in June by Pollfish uncovered similar findings, with over 25% of male U.K. millennials claiming that they would rather invest in bitcoin than real estate.
This also comes shortly after some of the UK’s most influential lawmakers called on the government to clarify its stance on cryptocurrency in terms of taxation and regulation, pointing out that London and the entire country could potentially benefit economically from the right regulatory framework. The U.K. Parliament’s Treasure Committee acknowledged that the market had its clear issues, such as volatility, user protection, and exchange hacking, but was quick to point out that the lack of comprehensive laws in the sector would only bring further confusion.
London is already a financial hub, and cryptocurrency companies have positioned themselves accordingly to take advantage of this. Most notably, London-based TransferGo has diversified to offer cryptocurrencies because of the new overwhelming demand, and the CEO boldly stated that “crypto is here to stay”.
Coinbase, which many have argued is the most important and relevant company in the cryptocurrency sector, also recently added the British pound to its platform for UK crypto users to meet the demands of its customers as well. Either way, the survey is certainly great news for the future of cryptocurrency, and the global cryptocurrency community in general.