One in five adults tempted to venture into cryptocurrency market place for first time

One in five people in the UK who don’t own any cryptocurrencies would consider venturing into the market and buying within three years, according to research out today.

Communications company Citigate Dewe Rogerson carried out the research, asking 1,000 adults in the UK their feelings on whether they’d consider buying cryptocurrencies for the first time.

Of the people who didn’t want to invest in cryptocurrencies, more than two-thirds (67 per cent) said it was because they were too volatile.

Read more: The FCA will publish its cryptocurrency review later this year

Around 61 per cent opted against it as they didn’t have enough knowledge about them, and 43 per cent argued that there was still not enough regulation of the market.

Citigate also carried out separate research with 30 finance professionals on their views on cryptocurrencies.

Almost three-quarters (73 per cent) reckoned that between now and 2020, more regulation for cryptocurrencies would be brought in.

Interestingly, one in three believed that cryptocurrencies will never stabilise, while almost one in five (19 per cent) thought this would happen in the next three years.

Phil Anderson, executive director at Citigate Dewe Rogerson said:

Our research shows that many investors are tempted to dip their toe into the crypto-currency marketplace, but there are a number of obstacles preventing them from doing this.

However, many of the obstacles to crypto-currency investment will be addressed in the coming months and years. Assuming valuations continue to rise, many more investors will be attracted to this market.

The volatile nature of cryptocurrencies has made many commentators question whether the trend is a bubble about to burst.

Financial regulator the Financial Conduct Authority (FCA) announced earlier this month that it would be publishing a review into cryptocurrencies later in 2018.