Report: Singapore Remains a Huge Crypto Haven Despite Trust Dips

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Nick Marinoff
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The Independent Reserve Cryptocurrency Index claimed in a recent report that the digital currency world, despite taking several hits in the trust department, is still enjoying active trading among people in Singapore, who appear to be as steady in their investing as ever.

Singapore Still Loves Crypto

Crypto interest in Singapore once stood beyond the 60 point mark, thus meaning digital currency was very popular within the nation and there were several individuals that trusted it and loved it as though it were on the same level as standard, fiat currency. Now, it appears that the mark has fallen to the 55 level. Thus, trust has dropped a little, but not enough to end the trading hype that’s clearly still occurring in the nation.

It’s estimated that about 44 percent of residents in Singapore – just shy of half the population – hold digital currency as part of their investment portfolios, while as many as 46 percent invest in crypto monthly. Lasanka Perera – chief executive officer of Independent Reserve Singapore – explained in a recent statement:

2022 was a challenging time for the cryptocurrency industry due to several macroeconomic factors. The collapse of Terra-Luna and the FTX fallout has understandably led to a loss of confidence and trust in the industry. As recent global financial events continue to unfold, many may also re-evaluate their dependence on traditional financial institutions to safeguard their money and turn to alternative assets such as bitcoin to hedge against bank defaults and currency debasement. It is encouraging to see that optimism towards the long-term benefits of cryptocurrency remains strong in Singapore, and that investors who adopt a long-term view are reaping rewards… Singapore has one of the clearest and robust regulations for cryptocurrencies, which gives investors an added assurance of dealing with trusted players. As Singapore continues to remain open to innovation in digital assets, education remains crucial as awareness and adoption of cryptocurrencies among residents grow.

Awareness Is Going Up, Up, Up

This year alone, the level of awareness surrounding crypto grew by more than one percent, suggesting that while most residents were previously obsessed with bitcoin, many have turned their attention to neighboring altcoins as a means of diversifying a bit more. Right now, people between the ages of 26 and 35 are the most aware of digital currency. Perera said:

The rising popularity of altcoins shows that more Singaporeans are beginning to gain more awareness about other cryptocurrencies apart from bitcoin. This is a promising sign for the industry as more investors gain exposure to various types of blockchains and projects that have innovative utility and potential to be adopted more widely for real-world applications and use cases.

Despite being a very bearish year, crypto adoption in Singapore rose three percent in 2022 from 40 to 43 percent.