Grayscales Investments is one of the most prominent digital currency asset managers that have created a name for themselves in the past few years. They have recently published the Grayscale’s 2020 Bitcoin Investor Study Report. By analyzing this report, we can take away some useful information related to crypto-currency investments to analyze where Bitcoin and other coins may trend to in the future.
COVID-19 is accelerating Bitcoin investments
One of the most important things highlighted in Grayscale’s 2020 Bitcoin Investor Study is how the COVID-19 pandemic is accelerating Bitcoin investments by the average consumer. This was found from a study that was conducted by a pool of 1,000 consumers in the United States. The survey was completed from the June 26th to July 12th, during a time when the economy was going through a period of uncertainty. Grayscale found that several consumers went ahead with short-term investments in Bitcoin.
We can see this from the statistics collected by Grayscale as well. In fact, the total number of investors who are interested in Bitcoin increased from 19% to 36% within the past year. Around 38% of Bitcoin investors have gone forward with their investment ventures during the past four months. Almost 66% of those who invested noted that COVID-19 impacted their decision.
Investors consider Bitcoin as a safe asset
Another key finding that we can find in the study is that more people are considering Bitcoin as a safe asset available to invest. It was found that 83% of the pooled consumers have engaged in digital currency-related investments within the past year. Bitcoin and other crypto-currencies are now considered to be a part of a modern, attractive investment portfolio.
Back in 2019, there was only 21 million potential Bitcoin investors. That figure has increased significantly in the year 2020. Grayscale indentified more than 32 million potential investors who are looking forward to entering into crypto-currency investments.
2020 Bitcoin Investor Profile
When breaking down demographics, we can see that the majority of Bitcoin investors posses either a Graduate or Undergraduate degree. It seems the more education one has the more likely they are to be interested in a Bitcoin investment. Grayscale found that out of the 23% of all investors already invested in Bitcoin, there was twice as many males as to females.
When analyzing data from 2019 to 2020, there is strong evidence to suggest accelerated acceptance in the matter of one year. With more than half of U.S investors having expressed interest in investing into crypto-currencies, it is fair to assume Bitcoin will continue to gain steam in the future. Investors will look to see if Bitcoin can establish itself as a save-haven in portfolios. With digital currencies still being so young in the grand scheme of things, it is exciting to think about how they will be woven into the future financial markets of tomorrow. Growing momentum from investors interested in this sector could lead Bitcoin and others to even larger highs in just the next decade.
You can find Grayscale’s report here.