The richest country in Europe is on its way to cryptocurrencies. This is revealed in a report by KuCoin, which shared amazing statistics about the future of cryptocurrencies in Germany.

In particular, 44% of Germans “have an incentive to invest in crypto to be part of the ‘financial future’, while over a third or” 37% of German crypto investors have been trading crypto for more than a year. ”

Cointelegraph has previously documented impressive years of cryptocurrency and throughput in Germany, but it is imperative to check crypto sentiment on the ground.

Johnny Liu, CEO of KuCoin — the company that published the report — explained to Cointelegraph the position of crypto investors in Germany:

“Cryptocurrencies are very popular among hoarders, especially among the younger generation. They prefer to save for retirement on their own and diversify their savings through the use of cryptocurrencies.”
Liu warns that “despite the high demand for cryptocurrencies among Germans, the country does not yet have specific rules that unequivocally regulate the use of digital money.”

In fact, while Germany was the first country to “recognize bitcoin as a ‘unit of value’ and can be classified as a ‘financial instrument'” according to the report. So far, the domestic regulator has made only “some progress in regulating cryptocurrencies.”

However, Germany was the first country in the world to adopt a blockchain strategy and it is interesting that Germany’s political stance towards cryptocurrencies was brought up for debate during the recent parliamentary elections.

According to Florian Donnert-Breyer, CEO of F5 Crypto, “Germany is a role model for other EU countries whose populations tend to be more open to long-term investment.” Moreover, “as the largest country in the European Union with a risky type of financial assets, Germany has a special role to play.” He adds:

“The large number of women interested in cryptocurrencies is especially encouraging because this target group is on average less active in the financial market (e.g. the stock market).”
The report states that “69% of crypto investors are men, while women represent 53% of crypto curiosities,” which according to Donnert Breuer shows that women are more interested in funding the future than the elderly.

Triple A statistics showing the distribution of cryptocurrencies by age and income. Source: Triple-A
Katharina Gera, CEO and co-founder of Immutable Insight, also addresses the changing demographics of cryptocurrency investors: “Smaller demographics exhibit a more independent and stock-focused investing style, and they tend to be significantly more aware of the risks of inflation in particular. ”

However, the future remains uncertain, especially in terms of the regulatory framework, where “BaFin never gets tired of warning about risks.” BaFin is the German federal financial regulator responsible for regulating cryptocurrencies. They recently gave the nod to neobank N26 to launch cryptocurrency trading in 2022.

Related: City of Lugano to Accept Bitcoin, Tether and LVGA as Legitimate ‘De Facto’ Trades

Dönert-Breuer is “confident that Germany will continue to implement crypto-friendly legislation,” while BaFin’s recent measures, such as the approval of custodial licenses and bitcoin-based security tokens, are promising signs. Germany may not have the same “compared to Switzerland, the UK,” Gera says, but “there is some movement on the legislative side.”

Last word for Lyu:

“Last year, Germany took the first official step towards accepting crypto investments by approving special funds for investing in digital assets. I believe that a good foundation has been created in the country to create a favorable climate for cryptocurrencies.”

Source: CoinTelegraph