According to new research, the risk that is associated with crypto is one of the greatest reasons why Australians remain uncertain about investing in cryptocurrency.
Nearly half (or 43%) of Australian citizens who took a recently conducted survey stated that the fact that cryptocurrency is prone to volatility is their greatest obstacle to investing in it. This is up 24% on the same response from a survey conducted earlier in January.
32% of the survey respondents would prefer to invest in shares or have their funds in savings. While 25% thought that cryptocurrencies were overstated. The percentage of Australians who considered cryptocurrencies to be overvalued has risen by 9% since the start of the year.
Another serious problem for crypto is being aware of how to invest in it, with 22% of survey respondents uncertain where to begin. Hesitance in investing in virtual currencies also stemmed from the lack of knowledge of what crypto actually is, with 19% suffering from this dilemma. There was also the perception that crypto cannot be used daily (18% of respondents).
Kate Browne, a personal finance expert at Finder, observed that risk continued to be the greatest hindrance in crypto investment. She added while speaking to NCA NewsWire that crypto comes with its own risks, much like other forms of investment.
The volatility associated with crypto was an issue to more men (50%) compared to women (37%), with men being more prone to believe it was overvalued. The overall results from the survey show that cryptocurrency is gaining mass popularity among Austrians, Gen Z being the most flexible.
1 out of 6 Australian citizens (17%) now hold cryptocurrencies, up 5% since the start of the year. Another 13% stated that while they did not own cryptocurrencies, they were planning on investing in them the next year.
Nearly a third of Gen Z citizens now hold cryptocurrencies (31%), twice the figure revealed in January