- FCA report reveals that UK crypto ownership has grown to 12%, indicating rising interest in digital assets.
- Awareness of cryptocurrencies has reached 93% in the UK, with average holdings increasing from £1,595 to £1,842.
- A growing demand for clearer regulations is seen, with 26% of non-crypto owners open to investing if markets are better regulated.
A report by the Financial Conduct Authority (FCA) published on Tuesday shows that more adults in the UK are interested in cryptocurrencies. The research indicates that one in 10 people in the UK now own cryptocurrency compared to previous surveys that put the figure at 8%. This can be an indication that the usage of these digital assets is gradually on the rise in the UK market.
FCA Reveals Rising Crypto Holdings
Another finding of the FCA’s study was a rising awareness of cryptocurrencies. Currently, 93% of UK adults know about digital currencies, which is 2% higher than the data from earlier surveys. In addition, the consumer’s average cryptocurrency holding worth has grown from £1,595 to £1,842, which also shows that consumers have more positive views towards cryptocurrency as an asset.
A particularly interesting element of the survey lies in the way new investors are being onboarded into the world of cryptocurrency. According to the research, most of the new investors seek recommendations from their friends, family, and colleagues, and only 11% of respondents made a purchase without prior investigation. This is proof of the role of personal networks in shaping the decisions of new investors in the crypto niche.
Even though the use of cryptocurrency is on the rise, the FCA has continued to warn people about digital currencies. The self-regatory body persists in cautioning the public that the tokens are still considered a highly risky investment due to their price fluctuations, and that the market remains inadequately governed. Therefore, the FCA has warned consumers that they should expect to lose their money in trading in cryptocurrencies. He stated:
“We’re committed to working closely with the Government, international partners, industry and consumers to help us get the future rules right.”
FCA Crypto Investment Trends
According to the FCA report, consumers are also using cryptocurrencies as part of their investment strategies. Also, the use of credit cards and overdrafts to buy digital currencies has also increased over the same period. In 2024, 14% of crypto investors revealed they employed such strategies, while in 2022 this number was 6%.
The study also showed that a clearer regulatory environment could contribute to the development of cryptocurrencies. It noted that 26% of non-crypto owners would be more likely to invest if markets were better regulated to show that there is an increasing need for clearer rules to foster the expansion of the sector while protecting investors.
