Cryptocurrency markets have seen an ever increasing number of investors since past few months but unfortunately, things have not been all velvet. A report by IW Capital by a Mayfair – based SME investment firm has baffled everyone with their findings that the British investors don’t understand the digital currencies at all.
This comes as a shock as Britain comes on top of the ranks of global leaders. Even in the financial sphere, the UK is one of the major players in the global economy, with London Stock Exchange being the third largest in the world.
The research said that 38% of the Britons have no idea how virtual currencies work and a third believe the apparent ‘bitcoin bubble’ is set to burst in the future. The report by IW Capital read, “The data reveals that, fundamentally, Brits do not have enough information or knowledge on the topic of cryptocurrency. In fact, many have no knowledge about the subject whatsoever.”
Though the media is prone to blowing things out of proportion, the findings of this research actually make sense. Most of the investors boarded the Bitcoin train when the prices were soaring towards the end of 2017. However, they lost their money owing to the bearish conditions prevailing in the market. The ones who had been holding it till now have been gaining. The people who had been buying the coins when the prices were at the lowest are definitely turning big profits.
The relevance of the report published by IW Capital is being questioned as it is not surprising for a traditional investment firm to come out and throw FUD at Bitcoins and other altcoins. A poll carried out by Wells Fargo/ Gallop found out that only 2% of the 2007 investors surveyed by the IW Capital actually owned Bitcoin. Moreover, 26% of those investors were interested in Bitcoin even though they had no plans of buying it in the future.
Another point noted by the Wells Fargo/ Gallop poll is that the younger investors are more inclined towards owning Bitcoin and other coins. Around 48% of the people in the age group of 18 to 49 know ‘a thing or two’ about bitcoin. While only 22% of the investors in the age group of 50 to 64 know ‘something’ about bitcoin. The percent continues to fall as the age increases.
In conclusion, a lot of people hopped in on the bitcoin vehicle when the prices were rocketing high but soon they were taken over by the realisation that they were not going to become millionaires overnight. Most of the people lost their money as the cryptocurrency was trying to overcome the volatility of the markets. Currently, the Bitcoin prices are stabilising and might rise up in the second half of 2018. The anticipated bullish signs may then increase the percentage of people making profits out of their cryptocurrencies.