UK crypto investors twice as likely to be focused on long-term wealth over short term gains
- Most (51%) UK crypto holders think long term, while 27% are motivated by quick gains
- Crypto investors five times as likely to describe themselves as cautious (35%) vs risky ( 7%)
- Crypto makes up 23% of investment portfolio for average UK crypto holder
13 November, London - UK crypto investors are almost twice as likely to be motivated by long-term wealth creation than by short-term gains, according to new research from investing and trading platform IG.
In a survey of over 500 UK crypto holders, 51% said they invest to build long-term wealth, while just 27% said their motivation was to make short-term gains. One in three (33%) said they were investing to support their retirement, and 18% said they were saving for a house deposit.
Among younger investors aged 18-24, the long-term focus is even more pronounced: 39% are investing for retirement and 28% for a house deposit, compared with just 22% motivated by short-term gains.
The findings also challenge the common perception of crypto investors as high-risk speculators. Respondents were five times more likely to describe themselves as cautious, seeking to avoid risk wherever possible, than comfortable risking large losses in pursuit of high returns (35% vs 7%).
This cautious approach is partly reflected in crypto holders’ strategy. Nearly half (46%) said crypto is a small part of a diversified portfolio, 33% said it is a significant part, and just 6% invested solely in crypto. On average, crypto assets make up 23% of the average UK crypto investor’s portfolio, according to the research.
Chris Beauchamp, Chief Market Analyst at IG, said: “Crypto has grown up, and so have the investors that want exposure to it. The astronomical percentage gains may be a thing of the past, and with greatly-increased institutional participation the stomach-churning declines are likely to be reduced too.
“Crypto has become part of the financial landscape, and has become a crucial part of portfolios across the globe. No longer the speculative upstart of the financial markets, its place now seems assured."
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