Despite the significant decline in the prices of cryptocurrencies since the start of the year, it appears that many in German population still view digital currencies as viable assets. A recent study by Postbank revealed that up to a third of the people are interested in cryptocurrency investments. Germany is a moderately-friendly cryptocurrency nation. There is even no tax on micropayments made with digital currencies. Thus, cryptos like bitcoin are considered legal tender.
The Postbank Digital Study took place between February and March of 2018 with a survey pool of 3,100 people. The conductors of the survey reportedly put effort into making sure there was a reasonable distribution based on age demographics. According to the findings of the study, there are some significant differences in the disposition of people to cryptocurrencies. These dispositions differ along gender and age lines. For example, more women, about 60 percent place their interest in digital currencies from the standpoint of regulations as against 51 percent for men. For men, 56 percent of them said that the potential for high yield returns on investment was what attracted them to cryptos, as against 36 percent for women.
Responders between the ages of 18 and 34 displayed the most interest in digital currencies. According to the research, almost 50 percent of the participants in this age range expressed an interest in the emerging crypto market with about six percent of them revealing that they had even invested cryptocurrencies. A further 14 percent in this age range expressed a desire to begin investing before the end of 2018. Also, 20 percent of the responders indicated that they were confident of their overall knowledge of the cryptocurrency market.
Apart from the ability to make money quickly from digital assets, the study also revealed that anonymity was another significant factor driving more Germans to adopt cryptos. According to the survey, more than 30 percent of the responders identified anonymity as the most significant positive aspect of cryptocurrencies. Anonymity is an integral part of the crypto and blockchain paradigm as it forms part of the philosophies of its pioneers. Some coins like Verge and Monero have even taken anonymity to higher levels, ensuring complete obscuring of the identities of transaction participants on the blockchain.
Commenting on the research findings, Thomas Mangel, the Chief Digital Officer of Postbank said:
“Due to the media hypes, many people overestimate their knowledge of the opportunities and risks of cryptocurrencies as an investment. Despite all the fascination, young investors should not lose sight of offers from the established banking system. Anyone who already makes an investment in securities as an investment should certainly not invest in cryptocurrencies because of the high risks involved. Because this type of investment is highly speculative.”
The bank also added a slew of cautionary warnings as part of the published report informing the German people of the inherent risks in the market.
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