Report reveals bull runs are driving force for new crypto investors
A report by the Gemini exchange called the 2022 Global state of crypto, has revealed where adoption is highest and the reasons people decide to invest in cryptocurrencies.
The results show that more than half of all crypto purchases were made by new users in 2021, confirming that bull runs are when most new users enter the market, as seen in 2017.
2022 has continued the cool off seen at the backend of 2021, with the market trading showing mostly sideways in Q1. If another bull run starts up later in the year we will likely see more new crypto investors entering the space again.
- More than half of all crypto users invested for the first time in 2021, making it a breakout year.
- 47% of new crypto users were women, closing the gender gap in what has been a male-dominated space.
- Countries that have seen inflation against the US dollar of over 50% in the last decade were more likely to have bought crypto, such as South Africa, Mexico, India and Brazil.
- Respondents stressed the need for better education resources to persuade them to make their first cryptocurrency purchase. You can check out our education resources here to give you all you need to know if you’re just getting started.
- 79% of crypto users say they are prepared to hold their crypto for the long term to make their returns.
- Venture capitalist investment hit $30 billion in crypto and blockchain startups throughout 2021.