The results of this study probably won’t surprise you; you might even feel identified. It turns out that according to Investe Value, BlueBenx, a FinTech company, conducted a survey that found more than 75% of crypto investors are afraid of losing everything.
The fear of the crypto market
Cryptocurrencies are fantastic for each of the features they offer us and liberate us.
However, like the rest of things in life, participating in the crypto market offers you a great benefit but also a great responsibility associated with risk.
This is exactly what BlueBenx found expressed in their survey. Specifically it found that seven out of ten, or 75% of crypto participants, are in constant fear of losing everything that has been invested.
Of the 310 investors surveyed, only 6.9% said they did not have any concerns or fears when it comes to the crypto market.
So yes, crypto is viewed as an equity investment and therefore it is normal for people to feel great fear or concern about losing everything.
Losing it all, a nightmare
How could they lose it all? Well, in multiple ways so we will point out just a few: hackers, status, forgetting or losing your wallet data, unexpected market movements, and continue …
This does not mean that out of fear they decide to leave the crypto market and run to safer assets. In fact, the survey found that 66.3% believe that cryptocurrencies are more advantageous and profitable, 20% say that they offer more benefits than fixed income and 2.3% think that they are more accessible than other types of income variable.
So 96% of respondents believe that crypto is the most profitable investment at the moment when we take into account economic instability.
Again we reiterate: cryptocurrencies offer great profitability but also a degree of responsibility.
Another example of this is that 86% of those surveyed planned to supplement their crypto portfolio in the future; with 47.10% planning to do so in the next three months and 18.40% wanting to increase investments in one month.
Likewise, Valor Investe pointed out that the investigation found that crypto is used as an asset for portfolio diversification; this for three out of ten, or 29.5% of the investors surveyed.
Barely 2.5% of investors invest solely out of curiosity, the survey found.
Investing can be a scary activity and it comes with great responsibility. This is why it is always important to diversify our portfolio while doing in-depth research before investing.