People in Australia are known to be extremely vigilant when it comes to investing. A recent survey conducted by the ASX (Australian Securities Exchange) nevertheless reveals another reality: the growing popularity of crypto in Australia.
A crypto craze despite high risk aversion
In Australia, the adoption of digital assets going well. In March, the country announces the launch of a CBDC pilot project. And again, the ASX survey reinforces this crypto craze.
THE study report reveals that almost a third of young investors 18 to 24 year olds in Australia are holding crypto in the year 2022. For several crypto analysts, this trend goes against the image of financial caution often associated with young investors.
- In Australia, 46% of young investors prefer “stable returns”, but 31% of them invest significantly in crypto.
- The average crypto holding among this “next generation” investors is $2,700. This represents 6% of their total portfoliowhich is double the average allocation of 3% observed in the other age groups.
This surprising trend can be explained in part by the desire of young investors to distance themselves from their parents and to do things differently. Also, many new investors are attracted to technology.
The challenges of crypto exchanges in Australia and the uncertain future of investments
The ASX study highlights another important point: centralized crypto exchanges are a potential drag on investment growth in Australia. The recent legal action by the SEC against Coinbase and Binance perfectly illustrates the challenges faced by centralized exchanges.
In Australia, Crypto Exchanges Are Facing many difficulties. For example, Binance Australia announced the suspension of its Australian dollar-denominated services. Also, Westpac has just banned all transactions with Binance. It is the second largest bank in Australia.
Certainly, crypto is becoming increasingly popular in Australia. However, the facts show another truth: Full Crypto Acceptance Not Coming Soon.
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