"Unknown people" increase the risk of owning a cryptocurrency

According to a Bank of Canada report, Canadians who are less financially savvy are twice as likely to invest in cryptocurrencies as Canadians who are more financially savvy.

According to a Bank of Canada report, most Canadians have financial literacy and some understanding of Bitcoin, but few own cryptocurrency.

According to the Bank of Canada's 2019 Financial Research Report, released in August 2020,Financial literacy is beneficial with knowledge of cryptocurrency, but not as well associated with membership.

Banks, including financial literacy, make it easy to understand investing and saving for retirement, with 47% of respondents having high financial literacy and 18% of respondents having high funding over the period of time. interview from August to September 2019. You have the experience. Low level of knowledge.The results showed that Canadians with a low level of financial literacy would be twice as likely to invest in cryptocurrency.

The results of the study indicate that "93% of Canadians with high financial literacy understand cryptocurrency, while only 72% of people with low financial literacy understand cryptocurrency."

"On the other hand, 8% of people with little financial knowledge reported having cryptocurrency, while only 4% of Canadians with financial knowledge reported having cryptocurrency."

According to research, the bank estimates that at least 84% of Canadians have at least heard of cryptocurrencies, and 5% of them have bitcoins or altcoins.

"Young people, men, Canadians or Canadian beneficiaries seem to be the most informed members and the most owners of cryptocurrencies," the bank found.

This information is based on a report published in February 2020 by ING Financial Group's Think Forward initiative. The report interviewed people from 15 countries in 2018, including the United States, Australia, the United Kingdom and members of the EU. Supports conclusion documents.

The report said: "Our research suggests that people with high financial literacy are less likely to own cryptocurrency. They will not be in the future."

Based on their understanding of inflation, simple interest rates, mixed interest rates, and financial risk, the group estimated that participants' financial literacy scores would be lower. this model of difference is reduced. ua 8.63 ..%. for 5.7%. The survey also found that respondents are also more likely to plan for future crypto investments.

“There are many investors in the cryptocurrency industry who lack the financial and financial knowledge and skills. These investors seem to overestimate the prospects for the cryptocurrency's recovery and underestimate the risks associated with their investment ... "

However, some data shows that many investors are frustrated with cryptocurrencies because they are ignorant.A 2018 survey conducted by trading and investing platform eToro found that 44% of online survey marketers do not participate in the cryptocurrency market because they think they don't have enough money. education. A similar study conducted by Grayscale in 2019 found that the more cryptocurrency education there is, the more U.S. investors will invest in Bitcoin.

And there is evidence that some of the most culturally savvy people in the world have invested in cryptocurrencies.A survey by Fidelity Digital Assets found that 36% of nearly 800 research firms have invested in digital assets. Up to 80% of studies find cryptocurrencies at least attractive.