About 22% of South Africa’s adult population, or 7.6 million people, are cryptocurrency investors, the results of a study by cryptocurrency exchange Kucoin showed. According to the study, 72% of respondents said they get information about particular crypto projects through social media. Influencers and media personalities have also proven to be key opinion leaders promoting cryptocurrencies.
Influencers and media personalities have proven to be key opinion leaders
According to the findings of a new study by Kucoin, around 22% of the South African adult population between the ages of 18 and 60 (or around 7.6 million people) are cryptocurrency investors. The study also revealed that 65% of crypto investors “see crypto as the future of finance.” The report adds that a significant percentage of users seem to prefer digital assets as the preferred means of savings to earn stable returns.
Explaining how South Africans obtain information about the crypto projects they choose to invest in, the results of the study reveal that nearly three-quarters (72%) of respondents obtain this information through social media. Apart from social media, influencers and media personalities have proven to be the key opinion leaders in the crypto promotion space.
Commenting on South Africans’ apparent preference for social media platforms as their first-choice news source, Kucoin CEO Johnny Lyu told Bitcoin.com News:
Data revealed by Statists shows that 30 million South Africans are social media users, and this figure is expected to reach 40 million users by 2026. The country is experiencing rapid growth in influencers, TikTok bloggers and creators for which social media has proven itself. be an easy and accessible source of income. The examples of well-known bloggers of African descent such as Khaby Lame are causing many Africans to spend more and more time on social media in search of work, income and dating.
Lyu also noted that social media has become the fastest way for users to get information. He said this is especially true now that “users’ time has become fragmented and obtaining information quickly and efficiently has become a common way of life.”
The unequal distribution of wealth in South Africa
Meanwhile, in terms of demographics, the cryptocurrency exchange study found that South African crypto investors are predominantly “male and younger generations.” It is estimated that men make up 60% of crypto investors, while some 42% of investors are believed to be between the ages of 18 and 30. The study meanwhile exposes the unequal distribution of wealth in South Africa and how low-income people seem to be using crypto as a tool to redress the situation.
“The unequal distribution of wealth in the country is well illustrated by the report‘s findings, as 22% of crypto investors earn less than $5,000 a year, while 16% earn more than $50,000 during the same period. “, explains the study report.
Although the findings of the study suggest that interest in cryptocurrency is growing, consistent reports of South African crypto investors losing funds to scam artists nonetheless caught the attention of regulators who reacted. by cracking down on crypto entities or warning the public not to invest in cryptocurrencies. .
However, despite the response from regulators, the study still found that South African crypto investors “maintain a positive attitude” towards cryptocurrencies, as they are proving “potentially improving the situation.” people’s finances. Such adoption of cryptocurrencies has the right impact on the local crypto market in general and this, in turn, helps weed out fraudulent individuals and players, according to the report.
What do you think of the conclusions of this study? Let us know in the comments section below.
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