The war in Ukraine and other global financial uncertainties have led to a heavy crash in the value of many cryptocurrencies, including Ethereum, Bitcoin, and Litecoin. However, commentators believe that this does not signal the bursting of the cryptocurrency bubble because of the rising awareness and usage of cryptocurrency. These trends, detailed below, suggest that cryptocurrency will have much greater longevity than initially thought.
The Research’s Positives
These insights are based on a survey that has recently been released by the Stellar Development Foundation (SDF) in partnership with Wirex. They surveyed people in four key markets – USA, UK, Mexico, and Singapore, and found exciting levels of cross-border cryptocurrency usage. 81% of participants said they were crypto-aware, and 45% had sent crypto to people in other nations.
The main driver for this trend was the high fees that are currently demanded to transfer money internationally via traditional means. 53% of participants were annoyed by the fees that they must currency pay, and 37% felt unsure of what fees they were currently paying.
This annoyance is combined with the crypto-aware trend that has dispelled the myths about cryptocurrency that held sway five years ago. Now, over half of people believe that cryptocurrency is a legitimate way to send money overseas.
The main demographic whose opinions have largely shifted is women. 49% of female participants stated that they considered cryptocurrency to be a viable way to send money to 59% of men. While women are still 10% points behind, it is clear that they are catching up, and it is likely the genders will align soon on this matter.
The Research’s Negatives
However, this survey is not something that we should get too excited about as there were also a host of negatives in the survey that suggests cryptocurrency still has a long way to go before it will be treated like a normal currency.
Concerns of volatility (63%), security (55%), and the complicated nature of usage were mentioned by participants as a continuing reason for them choosing to avoid using cryptocurrency where possible.
What Wirex and SDF are Saying about the Survey
Both Wires and SDF have reflected positively on the findings from the data. The CEO of SDF, Denelle Dixon reflected first. She stated “The results confirm what we have seen in terms of growing real-world use cases for blockchain and cryptocurrency in emerging markets on the Stellar network. Consumers are adopting these new ways of sending money cross-border as a faster, cheaper alternative to traditional banking rails.”
The CEO and co-founder of Wirex also had something positive to say. He argued “The rise in awareness of cryptocurrency is only the beginning. We see huge opportunities in Defi, multi-currency users, and cross-border remittances.”
This is a hugely positive response to the survey from top-brass within both organizations, revealing an exciting future for all cryptocurrency. The current period requires patience, but the future looks bright.