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Friday, December 7, 2018

8 Of the most Interesting Things about Crypto

Hello everyone, in this new post I will review 8 interesting things from crypto and for more details, let's just go straight:

Surveys have helped identify a variety of problems in the crypto industry, ranging from the popularity of crypto currencies, problems affecting the crypto currency industry, other interest banks and industries to crypto, to the level (or preference for) investment among crypto users of various age groups.

Here are 8 of the most interesting findings from various surveys conducted around the scope of the crypto industry.

1. 42.8% Crypto Users Prefer To Become Long-Term Investors

The South Korean crypto exchange, Bithumb, surveyed 2,500 platform users in May, and published the results on June 7. The result, while 27% of crypto currency investors aim for short-term profits, 42.8% want to hold crypto ownership for a longer period of time. Their goal is clear: making a profit from long-term investments. This proves that more users aim to gain long-term profits, than those who want to take short-term profits.

This study is not far from other surveys that have been found before. For example, many analysts believe that the market is currently in a prolonged "hodling" phase, after a big upheaval late last year. The latest survey on the Bithumb exchange also revealed that older crypto investors tend to last longer, than younger investors. About 50.4% of all investors who want to store crypto in the long term are over 50 years old. In comparison, only one out of three investors in their 20s (about 30%) want to do long-term crypto investments.

2. 35% of Rich People Worldwide Enter Crypto Investment

More than a third of high net worth individuals are planning, or have invested in crypto currencies. This figure is derived from a survey conducted by deVere Group. The company surveyed individuals from the US, UK, Qatar, United Arab Emirates, Australia, Hong Kong, Spain, Germany and France. According to deVere Group founder and CEO Nigel Green, crypto adoption of rich people will increase mainstream crypto expansion in the future.

3. 20% of Financial Institutions Will Offer Crypto Trading Next Year

Thomson Reuters, a financial information company based in Ontario, released survey results at the end of May 2018. The release shows that one-fifth of the 400+ forex brokers will start offering crypto trading services, as client demand for crypto assets increases. Plans for extending crypto services are likely to be realized between 3-12 months after this article was written.

Thomson Reuters press release said that the results of the survey showed that crypto popularity was increasing among the public. Michael Go, Head of Forex Market Development in the Asia Pacific, revealed that the emergence of the crypto market indicated a strong momentum for the growth of the Blockchain technology and new tradable asset classes.

4. 3 out of 10 German citizens consider crypto investment

A survey from Postbank Germany reported that 29 percent of Germans want to invest in crypto currencies. The survey conducted from the end of February to the end of March 2018 was conducted on 3,100 Germans. About 60% of female respondents and 51% of male respondents want to explore crypto currency as a way to get "financial freedom". The survey results also show that a high level of Bitcoin Anonymity is needed so that their investment is safe.

5. Crypto Still Popular Among Ages 18-34 Years Old

Still according to the German Postbank survey, 46% of people aged 18 to 34 years want to invest in crypto currencies. About 6% of them have started investing, and 14% have only planned to start investing within the next 12 months. Many other surveys support the idea that young investors are fascinated by the idea of investing in crypto currencies, even though it is older investors who actually have more income to invest in crypto space.

6. 40% of Problems on Crypto Exchanges Assessed Because of Lack of Security

In the period between April 23-30 2018, Encrybit surveyed a total of 1,108 people using Google forms, and found a number of problems affecting the crypto currency exchange. About 40% of respondents said that the crypto exchange was haunted by enormous security problems, given the many security violations that had been reported so far.

For example, one of the main reasons for the decline in Bitcoin prices in recent months is due to the possibility of price manipulation on Coinbase, Bitstamp, itBit and Kraken. The FSA has even asked them to share trade data related to Futures contracts, so that there are no cases of insider trading or other forms of fraud.

Some serious cases in crypto exchanges include:

Coinrail, which is one example of hacking in the past, causes a 10% decline in Bitcoin prices instantly.

Bithumb was hacked last year, which led to the theft of 32,000 personal data.

Youbit, another popular crypto exchange, lost 4,000 Bitcoin (about 17% of its assets) because it was hacked in December 2017.

Coincheck lost a $ 500 million token because the network was hacked in early 2018.

In addition to security on crypto trading platforms, clients are usually charged high fees, and this is problematic by around 37% of respondents in the Encrybit survey. Liquidity was a concern for 36% of respondents, while 33% of them said that the stock exchange problem was in the duration of service which was considered too lagging. For example, some users say it can take up to six weeks to be verified on exchanges such as the Kraken and Coinbase. Finally, 22% of respondents highlighted the problem of the lack of trading instruments provided on the exchange.

7. 68% of the Exchange and Crypto Wallet Providers Do Not Examine Client Identity

P.A.ID Strategies conducted a survey which showed that most crypto currency exchanges did not require more than one e-mail address and telephone number from clients to conduct Know Your Customer (KYC) checks. This shows a low readiness ahead of the entry into force of the new anti-money laundering Act (AMLD5), which will be applied in the European region next year. The law will block the market and providers of crypto wallets to adopt the same protocol as conventional banking services in terms of identity checking.

This study investigates client identification procedures from 14 exchanges, including Coinbase, Gemini, and Poloniex, and 11 crypto wallet providers, including Luno, Bonpay and Mercatox. The main analyst at P.A.ID said that compliance with AMLD5 regulations has the potential to improve the reputation of the crypto sector, because it can increase client trust.

8. Only 7% of crypto investors are experts in their fields

Although 11% of investors have some kind of intermediate experience in crypto trading, most of them are just newcomers.

A survey by eToro concluded that most crypto investors work in the field of Technology and Information. The rest, there are some people who are salesmen, students, retirees, workers in real estate or the arts, and people from the financial services industry.

According to the survey, Ripple is the crypto that can provide the most benefits, followed by Litecoin (LTC), Bitcoin Cash (BCH), Ethereum Classic (ETC), then Dash (DASH).

Hopefully this article can be useful for those of you who are indeed looking for developments or something that is more a trend about crypto.


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