New Zealand Sees Surge in Crypto Preference Over Property
Crypto Fever Grips New Zealanders, Overshadowing Real Estate Dreams
Kiwis Ditch Real Estate Dreams for Crypto Craze
If you're a Kiwi, chances are you've been bitten by the crypto bug! A recent study has revealed that nearly half of all New Zealanders are considering cryptocurrencies as a path to build wealth, ditching the age-old dream of owning a house.
The research, conducted by Protocol Theory and Easy Crypto, paints a fascinating picture of how the land of the long white cloud is embracing digital currencies. It seems that many Kiwis are turning to crypto out of sheer frustration with traditional financial systems.
Cutting Out the Middlemen
Over a third of the participants acknowledged that they are attracted to crypto because it removes the need for banks and other financial institutions. For them, these intermediaries are nothing but roadblocks on their journey to financial freedom.
Interestingly, most people believe that they can invest in crypto gradually, bit by bit. On the other hand, only a small portion feels the same way about real estate. This clear contrast highlights the view that crypto is more accessible than the property market, which often requires a substantial initial investment.
The Unattainable Dream of Home Ownership
Janine Grainger, the CEO of Easy Crypto, summed it up perfectly: "For many Kiwis, the dream of home ownership is becoming increasingly unattainable."
With younger generations facing financial challenges unless they receive wealth, and older generations seeking to strengthen their retirement savings, cryptocurrency is gaining attractiveness across all age groups.
A Boom in Interest, but Knowledge Gaps Remain
The survey results reveal that New Zealand is experiencing a crypto boom, with ownership reaching record highs. A significant 14% of participants now or previously owned crypto, up from 10% in 2022. Even more impressively, an impressive 45% expressed interest in investing in the future.
Even with this surging interest, a significant knowledge gap continues. A significant 72% of those who haven't invested yet admitted to being confused and unsure about where to begin their crypto journey.
Seeking Clarity and Guidance
The main hurdles mentioned were difficulty understanding the available information (67%) and a lack of reliable guidance (67%). Interestingly, even existing investors reported facing these same challenges, suggesting a need for clearer information and better education about cryptocurrencies.
Notably, half of those surveyed expressed a desire for regulations on how crypto providers operate, highlighting the need for a well-regulated and transparent crypto ecosystem.
New Zealand Government Steps Up
Recognizing the growing significance of digital assets, the New Zealand government is taking important steps to revamp crypto regulations and support the industry's development.
In April, the Commerce and Consumer Affairs Minister, Andrew Bayly, voiced concerns about the slow uptake of crypto and urged the government to support the sector while establishing suitable regulations.
Furthermore, the Reserve Bank of New Zealand is exploring the possibility of a central bank digital currency (CBDC), indicating a comprehensive approach to digital assets that aims to encourage innovation while managing risks.
As the crypto craze spreads across New Zealand, it's clear that Kiwis are adopting this new territory of finance. While challenges and knowledge gaps remain, the government's forward-thinking position and the growing interest among the public suggest that the future of crypto in the land of the long white cloud is indeed bright.
