Cryptocurrency Users Prefer Exchanges to Store Digital Assets

According to the latest report by Binance Research, 60% of cryptocurrency users prefer exchanges to store their digital assets. Dubbed ‘2021 Global Crypto User Index’, the report examined over 61,000 crypto users across 178 countries and regions.

The report mentioned that 52% of users consider crypto as a source of income, and 55% own digital assets as part of a long-term investment strategy. Additionally, around 39% of users are holding cryptocurrency assets to take advantage of the price gain, and 22% are using digital currencies for lending and staking.

Bitcoin remained the top cryptocurrency as 65% of global crypto users are holding Bitcoin in their portfolio. Moreover, 38% of users termed distrust in the current financial system as one of the main reasons to buy cryptocurrencies.

“We are seeing accelerated adoption of cryptocurrencies as more major players show support and provide additional channels for people to invest. It’s increasingly important for us to understand crypto users as well as their corresponding attitudes and behaviors. The aim of our 2021 Global Crypto User Index is to understand the commonalities and differences between retail crypto users across the different profile types, as well as across different countries and markets,” a spokesman from Binance Research said.

Growth in DeFi

The survey was conducted in eight different languages worldwide between 15 September and 25 October 2020. The report mentioned that 66% of the dApp users are using DeFi applications. Furthermore, Southeast Asia remained the most popular region for DeFi as more than 50% of the surveyed users use dApps.

“The total sample size was 61,073 adults across 178 countries and regions. The survey was made available in eight different languages. Fieldwork was undertaken between 15 September and 25 October 2020. The survey was carried out online. The figures have been weighted and are representative of active cryptocurrency users in the respective markets,” the official report states.

DeFi tokens including Chainlink (LINK), Uniswap (UNI), Aaave (AAVE), and Synthetix (SNX) have gained significant value since the start of 2021.

Source: Read Full Article