A recent survey conducted by Australian finance broker Savvy showed that 40% or two in five Australians intend to buy cryptocurrency in 2021.
The survey which recorded buying habits and sentiments toward cryptocurrency among 1,000 Australian respondents, showed that 17.3% of those said they owned or have owned cryptocurrency.
If the results are generalized among the population of Australia (approximately 25 million residents), it could mean that 500,000 Aussies have invested at least $5,000-$10,000AUD in crypto ($3,732-$7,465USD.)
Though only 5% of the survey respondents said they thoroughly understood how cryptocurrency works, and about 71% said they were open to learning more about cryptocurrency and blockchain technology.
A previous survey by Savvy showed that 47% of Australians prefer paying via a digital wallet.
But 9.7% think that cryptocurrency will replace the current fiat currency banking and transaction system.
Savvy Managing Director Bill Tsouvalas says that cryptocurrency is no longer a “fad” and that financial professionals should take crypto seriously or risk falling behind.
“Our survey showed 22% they’d buy into crypto ‘for fun’ as one of the reasons people would invest in crypto in the future. That pales next to the 47% who want to make money quickly. 38% say they will as a long-term investment, and 28% will diversify their portfolio. People are getting wise to crypto and are looking to park their money in crypto as a long-term investment. As crypto gets accepted at more merchants and stores, crypto’s popularity will only rise further.”
Of those who held crypto already, 41% said they bought into crypto “just for fun.”
33% said they bought crypto to “make money fast;” and 47% of that group said they would buy more for the exact same reason in the future.
Divided future – what’s next?
The decentralized and secure nature of Bitcoin and other cryptocurrencies first attracted many enthusiasts to the currency.
As such, cryptocurrency has a reputation for being unregulated and a “frontier” currency – although exchanges and transactions are much more straightforward than they used to be.
79.8% of respondents said that they would like more consumer safeguards and regulations around cryptocurrency.
As for whether respondents thought the crypto bubble would “burst” this year, only 21% agreed; 19% said that Bitcoin would reach a new high, and 20% said that prices would remain stable.
“Whereas fiat or paper currency has been around since the renaissance, crypto has barely been around for ten years,” Tsouvalas says. “People have warmed up to it very quickly, even if they don’t fully understand the concepts behind blockchains and decentralised ledgers. Even so, do we need to know how an internal combustion engine works to drive a car? When it comes to investing, people want to learn as much as they can before putting their hard-earned cash into something. Education and acceptance will come – it’s just a matter of time.”