VICTORIA, Seychelles–(BUSINESS WIRE)–Global cryptocurrency exchange KuCoin has released the Into The Cryptoverse report devoted to the adoption of cryptocurrencies and decentralized technologies in the Brazilian market. The report highlights that inflation in the country, which has doubled in the past year to 10% per year, has been a major contributor to the transition of local users to cryptocurrencies as a store of value and means of payment.
The report Into The Cryptoverse Brazil points out that the 34 million strong segments of the country’s adult population with no or underserved banks are largely represented by young people, those living in rural areas or receiving low wages. The given factor is considered to be the main driver for cryptocurrency adoption.
The KuCoin research shows that 34.5 million Brazilians, or 26% of the population between the ages of 18 and 60, are active crypto investors who have worked with digital currencies in the past six months. 64% of crypto investors want to increase their investments, while 21% are considered crypto-curious. Crypto earnings figures among Brazilians indicate that 52% of investors earn more than $10,000 a year. The core group of 36% of crypto-curious investors earn less than $5,000 a year. Gender differences were also taken into account as 56% of crypto-curious people are women.
Rising inflation in the country has forced 62% of Brazilian crypto investors to view cryptocurrencies as “the future of finance”, while 53% see cryptocurrencies as a reliable way to store the value of their assets. 50% expect high returns from cryptocurrency investments in the long term, 40% plan to use the profits to improve the living conditions of families and 36% rely on profits as a source of income for increased wages.
Brazilian crypto investors are also trying to diversify their portfolios by allocating an average of 40% of investments to cryptocurrencies. 1 in 6 Brazilian crypto investors allocates more than 90% of their investment portfolio to cryptocurrencies. The survey also found that an overwhelming majority of Brazilian cryptocurrency investors expect returns of more than 20% on their cryptocurrency investments, and losses of less than 10%, indicating a greater need for more education about portfolio diversification and risk management.
The activity of crypto investors is high as 75% of crypto investors exchange fiat for crypto at least once a month. 58% of crypto investors use online bank transfer systems like Pix and 57% use digital wallets like Apple Pay or PayPal to complete this process. More importantly, the survey found that 69% of Brazilian users prefer to buy crypto on KuCoin using online bank transfers like Pix for its speed, low cost and convenience.
On average, 39% of Brazilian crypto investors are conservative and invest in crypto savings, while 17% invest in strikes on a monthly basis. 46% of Brazilian crypto users said in the survey that products that provide passive income make them buy cryptocurrency in the first place. 46% of crypto curious are looking for ways to best manage their portfolio risk, while 39% are always looking for the most suitable products, 33% are unsure about market signals and 27% say they don’t understand how crypto works – currencies . †
The KuCoin Into The Cryptoverse Brazil report has revealed key market touchpoints and factors that lead the exchange team to believe in the prospects for greater adoption in Brazil with a proper approach to consumer education, users, and product placement. Check out the full report on the KuCoin blog.
Launched in September 2017, KuCoin is a global cryptocurrency exchange with its operational headquarters in the Seychelles, offers more than 600 digital assets and currently offers spot trading, margin trading, fiat P2P trading, futures trading, staking and lending to its 10 million users in 207 countries and regions around the world. In 2018, KuCoin raised $20 million in Series A funding from IDG Capital and Matrix Partners. According to CoinMarketCap, KuCoin is currently one of the top 5 crypto exchanges. Forbes also named KuCoin one of the best crypto exchanges for 2021. In 2022, The Ascent named KuCoin the best crypto exchanges and apps for enthusiasts.