Argentinians are very interested in cryptocurrencies, according to a survey made by Americas Markets Intelligence. According to data sourced from the study, more than one in ten Argentinians have made some kind of crypto investment. Furthermore, 18% of the surveyed stated they had an interest in buying cryptocurrencies in the future.
Crypto Adoption Booms in Argentina
A report recently shared by Americas Markets Intelligence has shown significant growth when it comes to cryptocurrency adoption in Argentina. The survey, that was made last year by polling 400 different users via smartphone, found that 12 out of 100 Argentinians had invested in crypto last year. While this number may appear low, it is actually higher than the statistics found for other countries in South America. Brazil reached an adoption of 7%, while Mexico had 6%.
The country was also above the average adoption rate in Latam, which was 8%. This is explained due to several reasons that derive from the economic traits of the country, where inflation and monetary restrictions have been affecting the population for years. However, the adoption percentage in Argentina is below the 16% found in the U.S.
Reasons for the Growth
The study analyzed the possible reasons for this growth in Argentina being over the total growth in South America and found three reasons that, combined, might explain the boom that crypto has seen in Argentinian and Latam Markets. The first one has to do with the high degree of digitalization these societies have compared to the low level of banking adoption. On this, the report states:
Persistent mistrust of banks has limited the growth of digitization and kept the use of cash even as consumers feel comfortable with digital tools.
Another important factor has to do with the inflation and monetary volatility in the country, which makes cryptocurrencies like bitcoin and ethereum interesting choices of investment and savings even when being highly volatile. The third reason has to do with remittances and the percentage that Argentinians have to pay to send and receive remittances, which is 5.5%. The use of cryptocurrencies sidesteps these platforms and lets users move their funds with almost no costs involved.
The study also sees potential in the future growth of crypto as an investment product. 18% of the surveyed stated that they have an interest in investing in crypto in the future, having never done it before. Of these, 54% stated that protecting their savings was a key benefit of cryptocurrencies.