Latest data suggests traditional financial products are losing pace with cryptocurrency

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As revealed in Ding As the second Global Prepaid Index, consumers are increasingly placing digital assets ahead of other more traditional financial products, such as personal loans. The data also highlights the high level of digital currency adoption, which reached 25% in some of the developing countries surveyed.

This biannual global study commissioned by mobile recharging service Ding examines the views of 6,250 people surveyed across Saudi Arabia, United Arab Emirates, Nigeria, Indonesia, Germany, India, Mexico, Brazil and the Philippines, regarding their engagement in the prepaid market. and their attitudes towards the economy.

Among the countries surveyed, the highest digital currency adoption rate was seen in Nigeria, with 25% of users confirming that they currently hold Bitcoin or other cryptocurrencies.

It was followed by the Philippines and Indonesia, where 19% and 18% of respondents, respectively, confirmed they held cryptocurrencies. In contrast, cryptocurrency adoption was lowest in Germany and Mexico, at 8% each, followed by Saudi Arabia with 10%.

The results also represent a higher preference for cryptocurrencies than for their opposing traditional financial products. Cryptocurrencies ranked sixth out of thirteen options, with traditional bank accounts, savings accounts and credit cards being the most popular products. However, crypto ranked higher in terms of global popularity than personal loans, stocks and stocks, and mortgages among GPI respondents.

The report also revealed broader findings on the global prepaid market, showing that more than three-quarters of users are engaged with prepaid products or services. However, far from being the last resort for those who are not eligible for a phone contract or credit card, the survey found that people overwhelmingly opt for prepaid for reasons such as better budgeting and lower costs. better control of expenses. In contrast, only 11% said they used prepaid because they had no other choice.

Rupert Shaw, Commercial Director, Ding

Addressed exclusively to Fintech time with regard to the conclusions of the study, Rupert Shaw, Ding’s chief commercial officer said, “2021 has certainly been a year where cryptocurrencies, de-fis, and NFTs have all become almost mainstream in the conversation. Our prepaid global index has shown time and again that consumers want flexibility and an alternative to what’s out there and this applies to investment options as well as other prepaid products – prepaid consumers are savvy, they want to exercise a noticeable control and trend is that they want an alternative to the traditional financial services that exist.

“The peer-to-peer nature of this category of investment is appealing and it is also an opportunity for them to be included financially in ways that they might have been excluded in the past.”

2021 has been a dynamic year for cryptocurrencies, driven by record prices and a slew of positive headlines around developments such as non-fungible tokens.

However, safety concerns continue to plague the industry. Another interesting finding from the GPI report is the strong correlation between fear of cybercrime and cryptocurrency adoption. More than half of respondents from Nigeria, the Philippines and Indonesia expressed fear of incidents such as financial information theft, identity fraud or hacking, more than other countries.

Respondents from these countries were also more likely to report fear of government or business data collection. But in contrast, Indian consumers were the least likely to be concerned about online financial crime and data fraud, while German respondents were the least concerned about data collection.

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