‘The world has gone crypto insane!’ Last year, more Britons invested in bitcoin than in equities and shares.
According to a new survey, Britons prefer to invest in bitcoin and other cryptocurrencies over stocks, shares, and ISAs.
Bitcoin’s price is jumping on a surge of institutional investor backing and news that Elon Musk’s Tesla is pondering accepting payments in the world’s most popular cryptocurrency. According to a new study done on behalf of DIY investment platform AJ Bell, 7% of Britons invested in cryptocurrency in the previous year. According to the statistics, UK individuals are more likely to invest in cryptocurrencies than in traditional sectors.
Only 5% of UK citizens have invested in stocks, shares, or ISAs in the last year, according to the survey.
The HMRC data released last week is yet another indication that the current cryptocurrency investing frenzy isn’t calming down.
In an interview with thismoney.co.uk,
“When more individuals are buying cryptocurrencies than investing in a stock market Isa, you have to conclude the world has gone crypto crazy,” Laith Khalaf, a financial analyst at AJ Bell, said.
“It’s feasible that, in the long term, cryptocurrencies will prove to be profitable.
“However, that is still up for debate.
“It appears that some consumers are diving headfirst into the cryptocurrency pool before learning to swim in shallower waters.”
According to a survey conducted by Boring Money, 40% of bitcoin investors are male and under the age of 45.
“There’s no harm in buying crypto if you have a lot of other bases covered with your finances,” Mr Khalaf said.
“Then any losses won’t have a significant impact on your overall wealth.
“It’s true that younger individuals are more confident in their knowledge of cryptocurrency.
“However, given the young age of crypto buyers, they may have collected few assets thus far and could be severely harmed if crypto markets take a turn for the worse.”
The survey’s conclusions were based on 1,269 responses from www.findoutnow.co.uk, an online market research tracker.
Using the revelation that billionaire hedge fund manager Paul Tudor Jones will “bet heavily on every inflation trade” with bitcoin if the US Federal Reserve treats growing consumer prices casually, bitcoin has risen back above $40,000.
Mr Jones plans to use bitcoin as a “portfolio diversifier” and a way to “invest in certainty,” according to him.
When asked whether he loves bitcoin at a certain price, the billionaire investor said, “Brinkwire Summary News.”