The latest Kucoin study has found that around 14% of Saudi residents are either current crypto investors or have traded crypto in the past six months. The study also found that 76% of investors have less than one year of experience and therefore may need relevant crypto education.
crypto winter effect
The latest study by cryptocurrency exchange Kucoin revealed that nearly three million Saudi Arabians, or about 14% of the adult population aged between 18 and 60, are either crypto investors or have traded crypto in the past six months. The study’s findings also suggested that 17% of adults in the country are said to be “crypto-curious” and are likely to invest in cryptocurrencies in the coming six months.
According to the crypto exchange’s Into the Cryptoverse report, the study also looked at how Saudi residents’ sentiment towards crypto trading has changed since the start of the ongoing crypto winter.
“In the first quarter of 2022, 49% of crypto investors intended to increase investment in cryptocurrencies in the coming six months. The start of the bearish market in the second quarter of 2022 led to more conservative strategies related to the holding of cryptocurrencies,” the report said. reversed investor sentiment towards.
The report states that since the start of Q2, around 31% of crypto owners in the country have indicated a desire to “maintain their crypto balance rather than increase their investment”. Conversely, low-income investors tend to liquidate some portion of their portfolio during the same period.
crypto the future of finance
Meanwhile, Kucoin said it found that 76% of investors have less than a year of experience. About 49% of these investors have just started trading crypto or investing in crypto in the last six months. According to the report, the high proportion of newcomers to Saudi Arabia points to the need for crypto education.
With regard to their reasons for investing, about 51% of Saudi crypto investors said that they are in this business because “they believe this is the future of finance.” About 44% said they are investing in cryptocurrencies because they can “bring them higher returns in the long run than other types of financial investments.”
While men were found to be the most dominant gender group (63%), young investors aged 30 and under are now accounted for at least a third of the total. While 44% of male crypto investors said they would not like to miss the trend, the study found that women tend to focus more on the realistic benefits of crypto.
In terms of sources of information, the report states that “84% of crypto investors turn to [social media] When doing their research, YouTube and Twitter in particular.” More than a third (35%) reportedly rely on online communities when looking for crypto-related information.
About 50% of crypto investors receive digital currency with fiat money and engage in spot trading every month. According to the report, this includes “trading, buying and selling at the current market price, which is the only form of crypto trading that is considered halal by some scholars in the Arab world.”
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