Fidelity Digital released a survey report recently displaying substantial growth in a number of categories surrounding digital assets. Across Europe and the U.S., year-over-year development existed in practically every classification, that includes existing direct exposure and understanding and appeal.
Let’s take a deeper dive into the survey and some of it’s takeaways.
Crypto Catalysts: Fidelity’s Findings
The 40-slide report describes study insights from over 1,000 participants in Europe, Asia, and the U.S. in between December 2020 and April 2021. Respondents included financial advisors, high-net-worth investors, hedge funds, family offices, endowments and foundations, and the like. Roughly half of the surveyed investors currently had a financial investment in digital assets, with Asia and Europe revealing greater rates of financial investment than the U.S.
70% of all surveyed investors had a neutral-to-positive perception of digital assets, and nine out of ten respondents said that they found digital assets to be appealing. Furthermore, approximately 8 out of 10 surveyed investors felt that digital assets have a location in a portfolio.
What assets are investors targeting? Surprisingly, only 21% of surveyed U.S. investors own bitcoin, compared to 46% of surveyed investors in Europe and 45% of surveyed investors in Asia, respectively. Surveyed U.S. participants likewise revealed lower indexed crypto holdings of other significant tokens also, consisting of ethereum, litecoin and XRP. Nonetheless, adoption continues to increase basically across the board year-over-year, with U.S. family offices and financial advisors seeing the largest upticks in adoption.
What’s Holding Respondents Back?
The greatest points of crypto uncertainty from Fidelity’s study individuals appeared to depend on crypto’s fundamental volatility and mysticism. Over half of the surveyed investors cited price volatility as “one of the greatest barriers to investment.” And almost half of the study participants stated that an absence of principles to evaluate suitable worth was a barrier to entry also.
Furthermore, while questioning around the topic was limited, tokenization showed weaker enthusiasm relative to Fidelity’s previous survey. Only around a quarter of U.S. and European investors surveyed thought that realty has fantastic prospective for tokenization, which was a twelve percent reduction from the last study.
Despite these reservations, the survey shows substantial optimism through-and-through. Over double the participants in the U.S. stated that they purchased or purchased digital assets through a financial investment item compared to the previous year. As more formalized investment products come to market, it’s reasonable to expect this number to continue to grow.
The reports comes simply a couple of brief weeks after Fidelity Digital’s enthusiastic future cost target for BTC. Just a couple months ago, Fidelity Digital bolstered it’s workforce by 70% due to an increase in demand.
