According to a survey by KuCoin exchange, 7.6 million South Africans, which constitutes about 22% of the country’s adult population aged 18-60, are crypto investors.
The survey asked people whether they currently own cryptocurrencies or have operated with cryptocurrencies in the past 6 months. About 65% of the crypto investors surveyed responded that they consider crypto to be the future of finance.
KuCoin also determined that a large percentage of users seem to prefer lower-risk products such as digital assets as a means of savings to earn stable returns.
Social media remains the main source of crypto-related information for South Africans. Influencers and other media personalities, the average people can relate to, are the main opinion leaders in crypto promotion, establishing both trust and rapport with users.
Dubbed ‘Into The CryptoVerse,’ the report revealed that 72% of those surveyed rely on social media for information regarding the decentralized market.
Many of the surveyed prefer crypto to banks, largely because of higher yields on the cryptocurrency market, which outstrip bank interest rates.
The demographics of South African crypto investors are skewed towards male and younger generations. Men account for 60% of crypto investors, with 42% of crypto investors being aged 18 to 30. The unequal distribution of wealth in the country is well illustrated by the findings of the report, as 22% of crypto investors earn less than $5,000 a year, while 16% earn more than $50, 000 during the same period.
According to the report, Africans who are emigrating to South Africa are also taking part in crypto investments.