What is driving cryptocurrency adoption in the UK?

By Puja Sharma

A global study finds that 18% of UK adults own cryptocurrency, with nearly half (45%) investing for the first time in 2021. UK consumers are crypto curious, with 49% of UK respondents who do not currently own crypto saying they are interested in learning more or likely to buy it in the next 12 months. Of those identified as ‘crypto curious,’ the majority (55%) are women.

Almost one in five (18%) UK adults own cryptocurrency, according to the research from cryptocurrency platform Gemini. The 2022 Global State of Crypto Report suggests crypto adoption has accelerated rapidly in the last twelve months, with nearly half (45%) of these investors first buying in the past year. Over a third (35%) of UK cryptocurrency investors are female.

The findings come from Gemini’s 2022 Global State of Crypto Report, an unprecedented global study spanning 29,293 adults in 20 countries, including 2,300 people in the UK. The research explored awareness and adoption of cryptocurrencies, motivations for owning and trading cryptocurrency, and general attitudes toward cryptocurrency including barriers to owning.

Gemini is a platform that allows customers to buy, sell, store, and earn cryptocurrencies like Bitcoin, ether, and DeFi tokens. Gemini’s simple, reliable, and secure products are built to empower the individual. Gemini was founded in 2014 by twin brothers Cameron and Tyler Winklevoss.

The data reveals the UK’s crypto ownership is similar to major European markets, such as Ireland (18%) and Germany (17%), and in line with developed nations including Australia and the US, where 18% and 20%, respectively, have bought crypto. Compared globally, Europe is more conservative, with the highest crypto ownership in Brazil (41%), Indonesia (41%), and the United Arab Emirates (35%).

UK consumers are crypto curious, with 49% of UK respondents who do not currently own crypto saying they are interested in learning more or likely to buy it in the next 12 months. Of those identified as ‘crypto curious,’ the majority (55%) are women.

Blair Halliday, Head of UK at Gemini, said, “Last year was transformational for cryptocurrency ownership, with significant growth in UK adoption.” A high proportion of UK investors see crypto as a long-term store of value, suggesting more people are recognising crypto’s part to play in a diversified investment portfolio.

“There is a huge opportunity to support those who expressed interest in learning more, and Gemini is focused on providing simple tools and high-quality education to enable the curious consumers to start their journey,” Halliday added.

Other key highlights

• The average age of investors is 36, with 62% of investors aged 25-44.
• Crypto ownership is highest in London (23%), followed by the North West (12%), South East (11%), and East Anglia (11%).
• Investing for the long term. Four in five (80%) buy and hold crypto for long-term gains, versus 40% who are actively trading crypto to make a profit. Other European countries such as France and Germany are less likely to hold for the long term (75% and 79% respectively) and more likely to actively trade (47% and 47% respectively).
• Reasons to invest. Half (52%) of UK investors believe crypto is a good way to diversify assets, lagging investors in countries such as Brazil (81%), India (71%), France (60%), and the US (55%).
• Mostly Bitcoin. The most commonly owned currencies by UK investors are Bitcoin (69%) followed by Ethereum (33%).