A recent study by Voucher Codes has revealed that one third of UK citizens currently own some form of cryptocurrency. Bitcoin is the most popular alternative and is generally appreciated by all English users who understand cryptocurrencies, while those who are not yet familiar with them risk being left behind in this area.
In fact, the UK government has been very supportive of cryptocurrencies in recent times and its economic policies seem tailor-made to move away from fiat money.
According to this survey, 41% of British men and 27% of women claim to have invested in this industry, with a total of 34% of UK citizens currently owning some type of digital asset.
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As noteworthy notes, it is worth highlighting that among the most popular cryptocurrencies for British crypto buyers we find Bitcoin with 20%, Ethereum with 8%, Dogecoin with 6%, Litecoin with 5% and Chainlink with 3%.
Furthermore, this data that a third of the English population has entered the crypto market comes in a complicated context due to the crisis of rising living costs as gasoline prices soar and the pound collapses against other international currencies.
In fact, the value of the pound against the dollar has fallen by more than a fifth, more than 14% against the Swiss franc and seven percent against the euro.
However, there is still a significant number of UK residents who have not yet delved into the crypto sector and who risk being “left behind”, as most of them say they are determined to never get involved in the crypto world.
Among the 66% of British citizens who do not own cryptocurrencies, there is a core of skeptical citizens who are against cryptocurrencies and who contrast with the 34% of citizens who use and/or own crypto in the United Kingdom.
Among the most common reasons given by these users for not deciding to adopt cryptocurrencies are a lack of understanding or knowledge (40%) along with the claim that the sector is not regulated. On the other hand, the percentage of citizens who claim to know about cryptocurrencies and yet never plan to invest is much lower (19%).
As this report’s contributor Dr. Garrick Hileman explained, “Education is probably the biggest barrier to crypto adoption today.”
The most common reason users cite for not adopting cryptocurrencies is a lack of knowledge or understanding at 40%. This is closely followed by the claim that it is not regulated. Of the other reasons cited for not adopting cryptocurrencies, many fall into the category of lack of understanding or knowledge.
UK government confident in crypto sector's potential
In this way, UK officials seem to understand and trust the growth potential of cryptocurrencies. The new UK government led by Liz Truss has signalled from the outset that it is open to the cryptocurrency business.
In fact, the UK’s Economic Secretary to the Treasury explained in a speech in early September that the UK was embracing this industry in order to achieve a global competitive advantage for the UK, considering that this country “can become the best place in the world to start and scale crypto technologies.”
Now, the economic policies of this government support the potential of the crypto sector but indicate a lesser understanding of the general economic reality. Thus, with different spending plans and tax cuts presented this past week, the pound has lost value.
Furthermore, the market has also been affected by the news that UK debt levels will rise if the Bank of England is forced to implement an emergency interest rate hike due to the worsening macro environment.
The UK may certainly be right in considering cryptocurrencies and the sector in general as a huge potential growth market for the country, but it should continue to keep a close eye on its economic policies in other areas.
