An average crypto asset holder in Great Britain would be young, male and holders. And they would consider crypto a ‘fun investment’. These are the findings of the latest research conducted by Her Majesty Revenue and Customs (HMRC) with the help of research agency Kantar UK and published on Tuesday.
Taking a quantitative approach, the research sought to establish the prevalence of owning crypto assets, the types and amounts, and platforms that people use to buy crypto assets. This included a survey with a representative sample of 5,916 United Kingdom adults, including 713 crypto asset owners.
The report revealed that 10% of UK citizens own or possess cryptocurrency, with 55% never selling it (equivalent to 5% of the adult population). Currently only 7% have holdings in excess of £5,000 (approximately $6000 at press time), while 52% of current owners hold up to £1,000 ($1200).
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The other important finding comes as no surprise – crypto owners are younger than the general population, 76% of whom are 45 years old, and mostly they are men (69%). The majority of them hold cryptocurrencies (79%), while the second most popular type of asset is utility tokens (20%).
An important takeaway refers to the general trading pattern – 68% of owners often obtain crypto from “centralized exchanges” and 81% use these exchanges to sell or exchange their assets.
Most owners reported a profit (63%) in the past year when settling cryptocurrency assets, with 14% claiming they made a loss and similarly, 14% disclosing that they broke up. Since the survey was conducted between February 2021 and June 2021, this data should be attributed to 2020.
On July 5, HMRC put out a call for a proof-of-concept, describing its intention to study whether it could reduce administrative hassle and costs for taxpayers participating in the crypto industry.