FCA Research Says 2.6 Million UK Residents Have Bought Crypto

Published on by Cointele | Published on

The United Kingdom's Financial Conduct Authority estimates that roughly 2.6 million U.K. consumers have bought cryptocurrency "At some point."

On June 30, the FCA published the results of its latest research into how consumers interact with crypto markets in the U.K. It found that 1.9 million people - 3.86% of the general adult population - currently own cryptocurrency.

This presents what the FCA considers to be a "Statistically significant increase," up from 3% in the last FCA consumer research report in 2019.

The increase brings the total number of U.K. consumers who have ever held cryptocurrencies at any point up from 1.5 million to its current estimated figure of 2.6 million.

The FCA's research indicates that 75% of the 1.9 million currently holding crypto hold under £1,000 worth.

In general, holders' level of technical knowledge and understanding of the potential risks associated with lack of protections and asset volatility is high, according to the FCA. One exception is that 11% of current and former crypto holders mistakenly believe their crypto assets are covered by consumer protections - amounting to roughly 300,000 people.

It also found, in parallel, that the most popular reason for U.K. consumers to buy crypto was "As a gamble that could make or lose money," with full awareness of the volatility in crypto markets.

Summary of FCA research findings, Dec. 2019.

As reported earlier this week, the FCA has just released a detailed statement urging all local crypto business operators to register with the authority by today.

The U.K.'s government budget in March 2020 indicated the government plans to consult on measures to potentially bring certain crypto assets into the scope of financial promotions regulation.