Growing institutional interest in bitcoin, A fidelity survey shows
The institutional investor's interest for Bitcoin continues to grow, according to the latest Fidelity study. 52 percent of respondents asked said they own bitcoin or another digital asset.
The current bitcoin market conditions have motivated these investors to invest. According to the study, European investors are more progressive than American investors when it comes to digital assets. However, Asians are far more accepting of digital currency than Westerners. Almost 70% of them have invested in Bitcoin.
Institutions from all across the world are seriously contemplating purchasing bitcoin, according to this report. According to a Russian Association of Forex Traders (AFD) poll of 502 individuals, 77% believe bitcoin is a superior investment than other traditional asset classes.
The adoption of digital assets has risen in the last two years. Between 2020 and 2021, the US cryptocurrency adoption rate climbed from 27% to 33%. Europe has seen a similar rise from 44% to 56% use of cryptos. Data for this year only shows a 71 percent adoption in Asia.
The figures are expected to climb in the coming years as investors continue to show interest in cryptocurrencies. According to the Fidelity survey, 60% of Americans, 75% of Europeans, and 80% of Asians want to buy digital goods in the future. This investment appetite is corroborated by institutional investors. 70% of the 1,100 investors polled see digital assets as neutral to positive.
The type of investment trend varies by place. The study found that US investors favour investment products over direct purchases of digital assets. The scenario is inverted in Europe and Asia. Whereas in other places, investors prefer to buy digital assets directly.
Investors' favourite cryptocurrency is Bitcoin. 21% of US investors with cryptos own BTC wallets. In Asia and Europe, these investors' digital asset portfolios contain 46% bitcoin. Ethereum is the second most widely held cryptocurrency, with 10% in the US, 27% in Europe, and 22% in Asia. Then there's Litecoin, XRP, Bitcoin Cash, and Binance Coin.
To summarise, despite a few small shortcomings, bitcoin and other cryptocurrencies are on their way to becoming a mainstream asset class for investors. Inflation is a disease that affects all modern economies, and cryptocurrencies provide a great hedge against it.
Only contemplating? They've had all the time in the world, they need to crack on and make the purchases