A recent study by Forbes Advisor, the financial guidance and price comparison platform, asked the current UK investing public about their attitudes to cryptocurrency. The study found that nearly two-thirds of current retail investors actively have money in crypto right now.
While cryptocurrency has seen its fair share of controversy over the years, the study suggests it still maintains a high amount of credibility among investors. Just over two-thirds (67%) of current UK investors believe that cryptocurrency is a form of investment as legitimate as stocks and shares in an ISA.
When it comes to the amount invested, one in six (15%) respondents said they have over £2,000 currently invested in cryptocurrency, and over two-thirds (37%) currently have over £1,000 invested.
As to why people got into crypto investing in the first place, one in five (20%) said they were influenced into getting into crypto after a finance professional told them it was a good idea. The majority (55%) first started investing after a recommendation from a friend or family member, and just under a quarter (23%) were persuaded through a social media influencer.
While cryptocurrency might not be most people’s main investment, about one in five (21%) UK cryptoholders have said that they made more money through virtual currency than through traditional investments. Furthermore, nearly a quarter (24%) of crypto investors trust it more than its traditional counterparts.
Andrew Michael, investment expert at Forbes Advisor, said: “Despite the undoubted ups and downs that crypto has been through, from both a volatility and credibility perspective, it’s interesting to see the proportion of investors who remain committed to virtual currencies.”
“Our findings also suggest that professionals working in more traditional areas of finance are making crypto-based recommendations aimed at the average retail investor. One in five is a significant minority in relation to a form of investment and speculation that the UK’s financial watchdog is continually at pains to warn consumers about.”