Lack of knowledge prevents Brazilians from investing in cryptocurrencies, reveals survey
2 min read
One of the main obstacles that prevents Brazilians from investing in cryptocurrencies is the lack of knowledge about this market. That’s what a recent survey conducted by the research firm Toluna found.
More precisely, nearly half (48%) of Brazilians surveyed said that not “knowing enough about the asset” is the biggest deterrent to trading crypto.
Survey also showed that only 16% of respondents said they were completely familiar with the concept of cryptocurrencies.
Still as the main reasons that prevent investment, 34% responded that they feel insecure to invest. Another 32% said they consider digital assets too risky.
Reasons to invest in cryptocurrencies
On the other hand, among Brazilians who invest in cryptocurrencies, the main reasons for investing were: long-term appreciation, short-term appreciation and portfolio diversification:
Specifically, 40% said they do so because they believe in the long-term appreciation of this asset class.
Meanwhile, 36% stated that digital currencies are good investment options due to their ability to pay off in the short term. The remaining 33% said they invest in crypto assets as a form of portfolio diversification.
As “inspiration” to enter this market, 35% of respondents said they were influenced by influencers and finance experts. Meanwhile, 24% attributed their decision to invest to ads on digital platforms.
Still, 31% stated that they had known about cryptocurrencies for about two years, that is, since the year 2020. Already 29% said that they were aware of the concept of crypto in 2019.
In addition, respondents were asked about the risk of investing in digital assets. On a scale of 1 to 10 (proportional to increased risk), 15% said their risk is a 5.
Binance is the most used exchange
Finally, the survey asked which is the most used crypto platform by Brazilians. In this aspect, Binance was the champion among Brazilians with 38% of respondents using the platform.
In second place, as the platform most used by respondents, the Brazilian BTC Mercado appeared, with 26%.
According to monthly surveys by Cointrader Monitor, Binance is the most used cryptocurrency exchange by Brazilians to trade BTC for over a year.
In the month of April, Binance traded 10,973.83 Bitcoins. In percentage terms, this equates to 49.70% of all BTC transactions in Brazil. This is the largest monthly participation of an exchange ever recorded by Cointrader Monitor since the survey began.