According to a survey conducted by a cryptocurrency trading business, cryptocurrency will see widespread adoption within the next ten years.
More than 28,000 investors from 23 countries in North America, Latin America, Europe, Africa, the Middle East, and Asia-Pacific were polled by Bitstamp.
It was discovered that 88% of institutional respondents and 75% of retail investors anticipate that cryptocurrency would become mainstream within a decade.
A further 80% of institutional investors said that cryptos will overtake traditional investment vehicles, according to the survey.
Cryptocurrency as an asset class has a high level of trust, with 71% of investment professionals and 65% of regular investors reporting that they trust it.
However, the poll found that developing countries are mostly responsible for global trust.
“Where trust in the traditional financial system is low: for example, in emerging economies, 79 per cent say crypto is more trustworthy compared to 62 per cent of more developed financial markets,” Bitstamp said.
El Salvador became the first country in the world to recognise Bitcoin as a legal tender last year. While some applauded the action, others reacted negatively and protested it because of the instability of bitcoin pricing.
Bitcoin’s latest high was $61,000 (€56,000) in October of last year, and it has been steadily declining since then, hovering around $39,000 (€36,000).
According to the report, other investment vehicles in the decentralized financial ecosystem (DeFi) have high levels of confidence, and stable coins, NFTs, and blockchain are gaining popularity among retail and institutional investors.
However, the survey also stated that faith in regulation is a “major hurdle” to crypto investing. Almost half of the retail investors polled believe cryptocurrency is unregulated.
“This demonstrates a need for stronger regulation in order to increase retail investor trust in crypto, which Bitstamp backs,” the survey said.
Governments from all around the world are beginning to support crypto legislation. The European Parliament approved new traceability rules for crypto asset providers earlier this month, forcing them to collect information on the holders with whom they engage.
Owners of cryptocurrencies are concerned about the ramifications of the new restrictions for their privacy.