Half of South Africans Will Invest in Crypto If Banks Provided Such Services: Survey

According to Merchants’ survey, 53% of South African respondents have very little or no knowledge about cryptocurrencies. Surprisingly, nearly half of respondents stated that they would be more open for digital assets if local banks offered them such services.

South Africans need more education

Merchants, a Johannesburg-based management firm, found that only 14% of South Africans are well-versed in the cryptocurrency industry. While 23% of participants were neutral, the majority (53%) said they knew little or nothing about the subject.

It is not surprising that younger generations are more knowledgeable about digital assets than older generations. The 18-24-year-olds have greater knowledge than any other age group.

The survey found that crypto adoption could increase in South Africa if local banks adopt the asset class and offer education programs for users. Nearly every participant stated that they would be more inclined to invest in Bitcoin or Altcoins if their local financial institutions offered such services. Mat Conn, Group GRO at Merchants, explained the potential effects of this move:

Banks have an opportunity to invest in cryptocurrency when it starts to take off on the continent. Rather than waiting for it to become established, banks should be able to do so as soon as possible. By then consumers will likely have a preferred platform or partner with whom they can build trust.

South Africa’s Crypto Adoption ranks second in Africa

A significant number of locals, despite not having sufficient knowledge about the subject, have already given some of their wealth to crypto.

According to a recent United Nations study, 7.1% of South Africa’s population (or approximately 4.2 million) are HODLers. South Africa was ranked second in the continent, behind Kenya with an 8.5% adoption rate.

Kuben Naidoo, the deputy governor of the central bank, stated earlier this month that digital assets, particularly bitcoin, could bring many benefits to the monetary system. He argued, however, that the digital space is full of hype and urged for regulation.

These rules will be in effect for the next year. After that, cryptocurrencies will be classified as financial assets.

“We don’t intend to regulate it as a currency, as it is not possible to walk into a store and use it for buying goods. Our view has changed to regulate (cryptocurrencies) financial assets. It is necessary to regulate it and make it mainstream. However, it must balance the hype with investor protection.

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Marla Brooks

Marla Brooks – Financial Analysis My name is Marla Brooks, and I am the mainstream behind the”observednews.com”  for the powerful and most delicate insights into the latest activities in the financial analysis category. I started my journey as an independent financial consultant. I had approximately nine years of experience in this field. I am free soul so; my passion for exploring the world has taken me to the nations across the globe and given me the chance to report for a portion of the best news associations. Currently, I am a full-time editor as experienced in finance and started to use my abilities.

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