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Are Cryptocurrencies the New Quarter Acre Dream? Research reveals investor interest
At least 14% of New Zealanders surveyed in new research say they own, or have previously owned, cryptocurrencies such as Bitcoin in their investment portfolios.
The figures stood at 700,000 people and included high-net-worth individuals and some small business owners, said Paul Quickenden, business director at Easy Crypto Markets with Madison.
“Some of them are doing it [buying] more than $10 million,” he said, referring to evidence of what he saw customers trading on Easy Crypto.
“Research tells us that real estate investors are also diversifying because they want better returns and cryptocurrencies deliver that.”
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The financial returns of cryptocurrencies as Bitcoin, which has risen more than 60% year-to-date to around $114,500, has made it increasingly attractive to investors, he said, while some have gotten involved solely for its strong monetary thesis.
“Some people are involved for reasons other than investment, they want to put the responsibility on the banks.”
Data from research by Protocol Theory, commissioned by Easy Crypto, compares with 10% local investor interest in the asset in 2022, according to the Financial Markets Authority, and an estimated average global cryptocurrency ownership rate of 6.8% , according to Triple UN.
Another 31% of respondents said they would be considering investing in cryptocurrencies.
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It was still far behind New Zealand’s homeownership rate of 64.6% in 2018, according to Statistics New Zealand and TradingEconomics.comand behind the pet ownership rate of 64% in 2016, according to the New Zealand Companion Animal Council.
“The feedback was very clear: they want financial freedom, they feel excluded from property in particular.
“We are still on the left side of the adoption curve. I’ve probably just gotten past the early innovators and early adopters and now I’m getting into that majority part of the market.”
Watch Paul Quickenden explain this exclusive insight into investor interest in Bitcoin and other cryptocurrencies in today’s episode of Markets with Madison Above.
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Disclaimer: The information provided in this program is general in nature and is not intended to constitute personalized financial advice. We encourage you to seek appropriate advice from a qualified professional to suit your individual circumstances.
Madison Reidy is host and executive producer of the NZ Herald’s investment show Markets with Madison. She joined the Herald in 2022 after working in the investment sector and covering business and economics for television and radio broadcasters.