Investors told what crypto projects lack
Date: 2023-07-14 Author: Karina Ziganova Categories: IN WORLD
Crypto investors want more disclosure similar to what exists in traditional financial investments. This is stated in the report of the financial consulting firm Broadridge.
The survey involved 2000 crypto investors from the United States, Great Britain and Canada. Respondents were interviewed about their investment decision-making process and sources of information.
Current and potential investors mostly prioritize traditional factors such as risk factors and safety (54%), financial review such as cash flows (52%), and management team assets (43%). On the other hand, important crypto-specific metrics such as tokenomics (16%) and network performance (28%) were not even in the top five criteria.
"The survey data shows that many investors prefer traditional financial indicators and distinguish them compared to other factors that directly affect cryptocurrency," said Professor Agnes Williams.
Typical investor
It is noteworthy that more than 65% of respondents consider their assets to be long-term investments, which contradicts the popular belief that speculation flourishes. In addition, almost half (47%) mentioned that their investment in the crypto space was educational in nature, implying a "learning by doing" approach.
Just under half of all respondents prefer to receive new information about their investments at least quarterly or monthly. At the same time, 27% would like to receive updates as information changes.
The study also found that Twitter was not an important source of information for most respondents. Only 26.3% of those surveyed cited social media as a source of information for their crypto investments.
"Concepts such as financial reviews and governance have a greater impact on investor decision-making than tokenomics and the underlying network of crypto assets," the report said.
When investors will invest in crypto
Another survey showed that professional investors are still interested in cryptocurrency, but first they want to get the support of large traditional financial institutions.
Moreover, about 82% of investors have a positive attitude towards Bitcoin (BTC) and Ether (ETH), and another 88% noted that they are thinking about investing in cryptocurrency. At the same time, most survey participants are not ready to invest in memecoins, including PEPE or DOGE.
