Bitpanda Research: Who are Switzerland’s crypto investors?

Of all the countries surveyed, Switzerland ranked first for crypto adoption, with 23% of the population already holding crypto in their portfolios. 

While the current adoption rate is high, it is more impressive when you consider how quickly it has increased. In Switzerland, cryptocurrencies are now even more popular than ETFs and precious metals. Only individual shares exceed the popularity of cryptocurrencies among the population as a whole (28%). Based on the results of our survey, the adoption is set to climb even higher. However, adoption isn’t uniform across the country, with young people in particular adopting crypto at faster rates.

Millennials are turning to crypto, Gen Z is following suit

In Switzerland, cryptocurrencies are now the most popular asset class among Generation Z (18-27 years) and millennials (28-43 years), a statistic unique to the Swiss market. In Switzerland, 32% of millennials have already bought cryptocurrencies. Among Generation Z, this figure is already 29%.

Optimism for the future of the crypto market

The survey also suggests that the number of young crypto buyers will continue to rise in the future, as optimism is high.  Almost half of Millennials and Gen Z investors in  Switzerland firmly believe that the price of Bitcoin will rise within the next 12 months (Millennials: 47%, Gen Z: 51%) - regardless of whether they have already invested in cryptocurrencies or not. 

Martin Beranek, Commercial Director Switzerland & Austria, comments: 

"The study shows a profound evolution in investment behaviour. Younger generations handle their assets differently than Generation X and the Boomers. They are much more open to new asset classes such as cryptocurrencies than the generations before them. Switzerland also plays a pioneering role in the European 5-country comparison when it comes to the spread and acceptance of cryptocurrencies. Our rapidly growing user figures from the last few quarters are impressive proof of this."

Factors driving adoption

There are several reasons people are choosing to invest in crypto. For Generation Z cryptocurrencies are viewed as a good way to build wealth in the long term and to be independent of traditional financial institutions. In each case, 36% of Gen Z cited this as the main motive for buying cryptocurrencies. A further 35% value the high potential returns. 

Millennials are also bullish on crypto: 31% of them are looking for high returns and independence from traditional financial institutions. 30% of millennials also see cryptocurrencies as a long-term investment, while a further 28% value anonymity and technological innovation (25%).

Trust remains a key factor

The trust of Generation Z and Millennials in the crypto industry still has to be earnt, and there are some major steps factors that could help deliver that trust. According to the survey, an average of 28% of both generations would like more transparent information and comprehensive education about cryptocurrencies. In addition, 27% want more stability in the crypto market in order to consolidate trust in this form of investment. Finally, 20% see wider acceptance and use of cryptocurrencies, clear legal provisions and more government regulation for cryptocurrencies as well as better security measures against hacker attacks and theft as crucial.

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Disclaimer

This article is distributed for informational purposes, and it is not to be construed as an offer or recommendation. It does not constitute and cannot replace investment advice. Bitpanda does not make any representations or warranties as to the accuracy and completeness of any information contained herein. Investing carries risks. You could lose all the money you invest.