Approximately 70% of Singaporeans hold cryptocurrency, a recent survey by the leading crypto exchange Gemini reveals. The study, which was conducted among 4,348 financial investors, unveiled that Ethereum is the most popular cryptocurrency in Singapore.
Of the respondents who participated in the study, 78% hold Ethereum. Bitcoin, the leading cryptocurrency in terms of market capitalization, is the second most popular digital asset in the country, as 69% of Singaporeans have invested in it. Other popular crypto assets are Cardano, Binance Coin, and XRP, each attracting 40%, 31%, and 25% of investors, respectively.
The study, dubbed “The State of Crypto in Singapore Report 2021,” was conducted by Gemini in collaboration with the leading crypto data aggregator CoinMarketCap, and Singapore’s leading personal finance Community Seedly.
Reportedly, men are considerably more exposed to investing in crypto, accounting for around 80% of the crypto investors. “By our calculations, the “average” crypto holder is likely to be a 29-year-old male with an average annual household income of about $51,968 a year,” the report read.
Among the participants, 33% have not invested in cryptocurrency. Of this group, over half assert a lack of knowledge deters them from investing in the field. “68.8% of non-crypto holders cite the lack of knowledge and understanding as the main reason. Other reasons include the volatility of the market, the asset being too risky, and the lack of regulatory oversight,” the report claims.
Over 80% of those who have invested in cryptocurrency view it as a long-term investment. On the other hand, around 60% use cryptocurrencies to trade for a profit, and more than 40% are earning interest on their profits.
In terms of the reason for investing, 59% of the respondents have turned to cryptocurrencies to enjoy their decentralized nature which eliminates the need for intermediaries. In addition, over 40% believe crypto assets are a good hedge against inflation.
According to the report, 55% prioritized security when choosing a crypto exchange. Another 23% preferred to trade via a regulated platform while 20% were making their decision based on the exchange’s fee mechanism.
“Similar to the growing momentum in the cryptocurrency industry across the world, we are seeing a growing level of investor interest in Singapore, which is encouraging. This study has underscored that barriers to entry for potential investors still remain. Engagement with, and education of, both the crypto-curious and current investors will be key to tackling the knowledge gap and ensuring that cryptocurrency is accessible to everyone in Singapore,” said Jeremy Ng, Gemini’s Asia-Pacific managing director.