Russian investors see equal opportunity both in gold and cryptocurrency, new report shows. Cryptocurrency is the fifth most popular investment tool in Russia over the last 12 months.
World Gold Council’s Report
International organization on gold known as World Gold Council unveils new report over famous investment entities on Oct.20. The report denominates the 5th spot for cryptocurrency after “savings accounts, foreign currencies, real estate, life insurance, and gold.”
Cryptocurrency has even left behind gold, which is known as a popular safe-haven asset. Cryptocurrency accounts for 17% of Russian retail investment, while gold only makes 16% of total investment.
According to the report, the data is collected after taking online interviews with 2,023 investors from different cities of Russia. These investors have made at least one investment over last year.
The popularity of cryptocurrency in the country shows that Bitcoin has made its position strong in the rows of investors. This is a clear example of Bitcoin’s mass adoption. While gold remains successful in getting the sixth position in the list but after the cryptocurrency. The low position of gold is due to a lack of awareness and education around gold.
The report states that Bitcoin has gained the reputation of a prominent investment tool besides its status as a risky investment. While on the other hand, gold is known for its stability even in times of uncertainty in equity and stock markets. All these things show Bitcoin has been growing and gaining the attention of retail as well as institutional investors.
“The rise of cryptocurrencies demonstrates that there is a desire for choice and appeal among retail investors. As the Russian investment market takes shape, opportunities for different investment products will emerge and gold will need to respond,” World Gold Council added.
Chainalysis has released a report the crypto adoption in September 2020, which places Russia at the second position after Ukraine in crypto adoption.
The Russian government has not yet succeeded in rolling out a clear law over the status of cryptocurrency in the country. According to reports, the cryptocurrency will be implemented in 2021.