Investing in digital assets like cryptocurrencies may be popular in many markets around the world, but not so much in Saudi Arabia, according to a new survey.
The digital asset class has generated “a fair amount of awareness” in the kingdom, but only about 18 percent of residents invest their money in it, research firm YouGov found in its latest poll.
Interest in dealing in cryptocurrencies is high among young adults between 25 and 34 years (at 25 percent), while older adults aged 45+ seem hesitant and don’t intend to deal with them (37 percent). Those with high income or are earning at least 30,000 riyals ($7,996) per month are also more likely than others to trade in the asset class.
“Over the last few years, the cryptocurrency market has rapidly expanded. Data shows that in Saudi Arabia, cryptocurrency has, as an asset class, generated a fair among of awareness, and more than three-quarters of residents claim to be aware of it. While awareness is high, only 18 percent currently trade in cryptocurrencies,” YouGov said.
Plan to invest
According to YouGov, the future of the digital asset class in Saudi Arabia looks promising. More than a third (34 percent) of surveyed respondents who are aware about cryptocurrencies say that they plan to invest in them.
Men are also more likely than women to trade in crypto (36 percent versus 30 percent), while a quarter of those familiar with it (25 percent) do not intend to invest. As many as 23 percent are also not aware of the asset class.
Nearly four in ten people (38 percent) in Saudi Arabia said they invest in crypto to diversify their portfolio, with 27 percent and 15 percent saying they consider the asset class secure and transparent, respectively. About 20 percent consider crypto as a long-term investment option, while only 13 percent decided to invest based on recommendations from friends and family.
(Reporting by Cleofe Maceda; editing by Seban Scaria)