The latest research report by Panews has set the Chinese people at the top the leaderboard with 14% of the citizens investing in decentralized ledger technology currencies. Nearly 98% are crypto literate in China, perhaps the highest among investor regions. Over 95% of Chinese are aware of the technology behind bitcoin and other cryptocurrencies, which is blockchain technology. The rationale for investing in these alternate currencies is that they are perceived as “investment products” and not as mediums for trading and exchange.

Panews Report

Even as China continues to bear down on cryptocurrency investments and its adoption in the mainstream, the number of citizens investing in these deregulated currencies continues to rise.

As per research results obtained by Panews, of the total 4,200 people surveyed only 2% or 75 people were unfamiliar with blockchain, bitcoin or cryptocurrencies. As many as 40% were willing to make an investment in these alternative currencies, while 83% of those surveyed believed cryptocurrency investment was a new trend.

14% hold crypto investments

According to the study as many as 598 or 14%, of total surveyed reported that they owned cryptocurrencies. The investments were basically made through two methods. The most common method was to buy them at exchanges (70%) while the remaining 266 came to own the currencies by way of airdrops. An equal number nearly came about owning cryptocurrencies by mining for it (263 of them).

Sino investors learned and explored cryptocurrencies through social media, the study reveals. As many as 38% of those surveyed became familiar with cryptocurrencies via network platforms while 26% of them believed it was with friends and relatives.

Investment products

The trend in China towards cryptocurrencies is that of a valuable investment product and not merely an instrument of trading. This has meant that these decentralized currencies have become household concepts. Of the total number surveyed only 9% were familiar with the actual working of bitcoin, blockchain and cryptocurrency concepts.

Only 103 did not know about bitcoin, while 60% explained that the biggest barrier to cryptocurrency adoption was exchanging and storing of cryptocurrency for wide-spread adoption.

The result of the survey clearly establishes that in China, cryptocurrencies are a household concept as investment products and could well become the mainstay of the economic practices in China. The industry thus has a strong foothold in the country, and it is interesting to note the direction regulatory policies will take in the short term, given the current ban on trading in China.