KuCoin’s Into the Cryptoverse Report Reveals German Users’ Love For Versatile Crypto Projects

2023/06/29 06:58:27

People’s Exchange KuCoin is delighted to share our latest findings based on a survey of crypto users in Germany. The report titled Into the Cryptoverse: Understanding Crypto Users in Germany reveals valuable insights about the current state, investor outlook, key trends, user preferences, and emerging opportunities in Germany’s crypto market.

With the 11th report published in this series, this latest report is an endeavor by KuCoin to understand better the market dynamics, investment trends, and crypto investors’ perception of digital assets in one of Europe’s most powerful economies.

As in most other parts of the world, the interest in crypto assets and adoption is rising among German investors, especially Millennials. German investors are optimistic about crypto’s potential for mainstream adoption, especially as a payment method.

Who’s Investing in Crypto in Germany?

While making this report, KuCoin surveyed 500 crypto investors in Germany aged between 18 and 60 in May 2023. Of the participants surveyed, 17% indicated that they own or have owned crypto in the past six months.

The majority of German crypto investors fall in the Gen Y category, aged between 26 and 39, accounting for 51% of the market share. But Gen X isn’t too far behind, with investors aged between 40 and 60 accounting for 30% of the market. Surprisingly, Gen Z, aged from 18 to 25 years, accounts for only 19% of crypto investors in Germany.

In terms of experience, there are mixed insights on offer. While 25% have been investing in cryptos for over three years, 21% have been involved in crypto investing for 1-2 years, and 13% of investors have been active over the past six months to 1 year. On the other hand, 26% of investors have been participating in cryptos for less than three months, while 15% have been investing in cryptos over the past 3-6 months.

Gen X Among Early Adopters, While Interest in Crypto Among Gen Y and Gen Z is on the Rise

Around 25% of all survey respondents conducted their first crypto transaction over three years ago, with Gen X leading the way at 32%. The bear market conditions weighing the crypto market since 2022 have failed to make much of an impact on young investors, however. 41% of Gen Z crypto investors started investing in digital assets over the past three months to one year.

An increasing number of Millennials are also confidently investing in crypto, as the KuCoin survey indicates. 34% of Millennials invested in crypto for the first time in the past three months, compared to 20% of Gen X and 17% of Gen X investors.

Why Are German Investors Turning to Crypto?

Our survey suggests that investors in Germany believe in crypto’s potential as a long-term investment. 49% of crypto investors based in Germany believe that cryptos can help them realize their long-term wealth accumulation plans. 25% of investors also have faith in crypto’s potential as a store of value against fiat depreciation amid high economic uncertainty.

Several investors (26%) have also invested in cryptos to diversify their portfolios and investment risks. Participants in our survey have also found crypto investing convenient (30%), fun (32%), and a way to get rich overnight (22%).

What Do Germans Use Their Cryptos For?

Cryptocurrencies offer high versatility for German users. While trading is the leading use case for cryptos, especially among 40% of Gen Z respondents, our survey also indicates several other reasons why Germans increasingly turn to crypto.

Popular use cases for crypto among Germans include online shopping (25%), buying NFTs (21%), crypto credit cards (21%), HODLing/earning/staking (20%), gift cards (20%), accepting/paying salaries (15%), and donating to non-profits (12%).

Gen Z is the savviest group of crypto investors across Germany, actively using cryptos to trade, conduct transactions, earn passive income, and more. A notable 28% of Gen Z users are utilizing digital currencies through credit cards or for online payments, indicating the integration of cryptocurrencies into traditional financial activities. At 36%, Gen X is the second most active group of users that uses crypto for trading activities.

What Crypto Projects Do German Investors Prefer?

The crypto king, Bitcoin, remains the leading choice for crypto investing across all age groups of German users surveyed by KuCoin. 64% of participants have invested in Bitcoin, with Gen X ranking at 69%.

Ethereum follows closely behind as the second-most popular investment option for crypto users in Germany. 40% of crypto users have invested in ETH; the most prominent group is Gen Z, with 47% of users in this age group investing in Ethereum.

Other preferred crypto investments among German crypto users include NFTs, metaverse, memecoins, DeFi, public blockchains, and GameFi. 26% of overall users have invested in NFTs, with Gen Y being the largest group investing in this category at 29%. Metaverse and memecoins get the most love from Gen Z, with 20% and 19% of users invested in them, respectively.

Key Takeaways: What This Survey Tells Us About Germany’s Crypto Investors

In line with global trends, the KuCoin survey reveals rising interest in crypto as an investment asset class. Savvy Millennials are especially motivated to invest in cryptocurrencies and digital assets.

The KuCoin report also highlights how the crypto landscape in Germany is evolving. This is a promising sign, considering the rapid pace at which the crypto market develops and adopts emerging technologies, such as artificial intelligence (AI), augmented reality (AR), virtual reality (VR), and more.

German crypto users’ strong demand for crypto projects across critical sectors such as NFTs, metaverse, and memecoins could indicate increased buying activity during a potential bull run in the future. Furthermore, a strong interest in Ethereum and such crypto projects also show the strong potential to support the upcoming web3 revolution among investors in Germany.

Conclusion

As one of the top five global cryptocurrency exchanges, KuCoin constantly champions the cause of expanding crypto adoption and fostering the crypto community’s growth and development. Our wide range of surveys spanning various topics of interest in the crypto industry aims to support all stakeholders and participants in the crypto market to understand and develop this space responsibly, transparently, and properly. With such endeavors, we simultaneously focus on driving crypto awareness and adoption among investors, industry participants, and policymakers for a more holistic acceptance of this powerful emerging industry.

Read the full report here >>> Into the Cryptoverse: Understanding Crypto Users in Germany

About KuCoin

Launched in September 2017, KuCoin is a global cryptocurrency exchange with its operational headquarters in Seychelles. As a user-oriented platform focused on inclusiveness and community action reach, it offers over 700 digital assets. It provides spot trading, margin trading, P2P fiat trading, futures trading, staking, and lending to its 27 million users in 207 countries and regions.

In 2022, KuCoin raised over $150 million in investments through a pre-Series B round, bringing total investments to $170 million with Round A combined, at a total valuation of $10 billion. KuCoin is currently one of the top 5 crypto exchanges according to CoinMarketCap. Forbes also named KuCoin one of the Best Crypto Exchanges in 2023. In 2022, The Ascent named KuCoin the Best Crypto App for enthusiasts. 