Recently, Binance gathered insights around the world and released a critical examination of investors’ preferences, motivations, and behaviors.
The famous cryptocurrency exchange platform releases its Global Crypto User Index Report for 2021, which critically gives an inside look at data from over sixty-one thousand (61,000) cryptocurrency traders and users from over one hundred and seventy-eight (178) regions and countries. This comprehensive report examines the attitude, demographics, adoption, ideology, and financial involvement of the respondents.
From the report released on Binance, about 55% of traders and investors engage the crypto market for long term investments, while about 38% turned to crypto because they lost their trust in the current centralized financial system. Also, the report reveals that only 31% trade the cryptocurrency markets in the short term.
15% of the respondents reveal that trading or investing in cryptocurrency is the major source of sustenance. While 52% just considered it as one of their sources of finance. The report further reveals that 97% of the traders have a substantial level of confidence in cryptos, and as expected, Bitcoin is still the most owned crypto asset as about 65% of the respondents at the time of the research owned BTC.
Talking about what each person uses crypto for, 22% of the respondents use crypto for lending and staking, while 39% declared that they purchased coins to hold them, and 11% go into the crypto world to use coins for payments.
Moreover, 60% of the users store their coins on the trading exchange platforms, and 63% depending on their disposable income to be able to invest and trade crypto.
The report released by Binance further reveals the increasing acceptance of the Decentralized Finance (DeFi) services. In the report, 66% of those that participated in the research revealed that they use DeFi applications.
The correlation analysis done from the report shows that the lower trust in the traditional financial institutions automatically implies a huge trust in the crypto world. This was discovered when talking about issues relating to the liberty of money. The study then reveals that 17 in 20 people have a trust level of less than 50% in the local financial institution.