What happened?
A recent survey by Independent Reserve, a MAS-licensed crypto exchange, has shown that 94% of Singaporeans are aware of cryptocurrency, but only 29% currently own or have owned it in the past year. This is a decrease from 40% in 2024, as many Singaporeans now focus on traditional investments like savings and fixed deposits in response to global economic uncertainties. The survey indicates a shift in investment strategies, with people becoming more cautious amid macroeconomic conditions.
Who does this affect?
This change affects both individual investors in Singapore and the broader crypto market. While overall crypto adoption has declined, the younger demographic, especially Gen Z and millennials, are leading the charge in crypto usage, with around 40% holding cryptocurrencies. Singaporean businesses and crypto exchanges could also be impacted as they adjust to changing consumer behaviors and preferences in financial investments.
Why does this matter?
The trend highlights a broader market impact where investors move away from riskier assets like cryptocurrencies towards more stable options amid economic uncertainty. Despite the decline in ownership, Bitcoin remains a popular choice, with 59% of respondents showing preference for it, and a significant portion believing its value will rise significantly by 2030. The survey’s findings suggest that while interest remains, actual investment behaviors are shifting due to economic factors and perceived risks associated with various cryptocurrencies.