About one million Australians will buy cryptocurrency for the first time in the next 12 months, bringing total cryptocurrency ownership in the country to more than five million, according to a recently published survey.
The findings come from Australian crypto exchange Swyftx’s second annual Australian Crypto Survey, which was conducted by research firm YouGov.
The survey asked 2,609 Australians over the age of 18 in early July, with 548 of the survey sample identifying as current cryptocurrency holders.
The report said that despite the current “Crypto Winter” which has seen approximately $2 trillion in assets wiped from the digital asset market over the past year, Australian crypto ownership has grown by 4% year-on-year, reaching 21% by 2022.
According to the report, this figure will increase by one million new cryptocurrency owners by 2023, while at least a quarter of Australians plan to buy cryptocurrency in the next 12 months, with Millenials, Gen Zers, Australian parents and those working in full time are more likely to buy.
This finding is broadly in line with recent data from a bitcoin processor suggesting that crypto winter is not slowing mainstream adoption, and comments from CoinJar’s head of content, Luke Ryan, who claims that sports sponsorship is helping to legitimize cryptography in Australia.
Commenting on the bullish numbers for crypto adoption and ownership, Swyftx Head of Strategic Partnerships Tommy Honan told Cointelegraph:
“Based on current growth trajectories in the use of digital assets, we expect half of adults under 50 in Australia to own or have owned crypto in the next one to two years.”
However, Honan said there were also many variables that made it difficult to adopt forecasts, adding:
“The expectation is that we’ll see crypto move into the regulated space next year, and all things being equal, that’s expected to trigger growth in adoption, but it’s not a given.”
Honan said the rate of adoption could slow over the next 12 months before picking up again as market conditions improve.
“The bear market has knocked confidence […] Confidence can go up stairs and down elevators, so we’ll have to wait and see how quickly the market stabilizes,” he noted.
According to the survey, the lack of strong regulation was revealed as the main deterrent to investing in crypto for those who haven’t yet, along with a lack of knowledge about how crypto works and the general volatility of the market
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This finding is bolstered by recent comments from Credit Suisse’s former head of risk CK Zheng, who believes the next crypto bull run will be the result of “regulatory clarity” in the United States.
In a comment to Cointelegraph Swyftx co-CEO Ryan Parsons said the report shows there is clear demand among Australians to buy and use crypto, but a “material factor” for crypto hesitancy it remains the regulation.
“The pace of defined rules is growing and will continue to grow if the adoption of digital assets increases at its current rate. As this report shows, there is a clear demand among Australians to buy and use cryptocurrency. It is imperative that we respond to this demand responsibly.”