The cryptocurrency landscape in Turkey is experiencing a significant transformation, according to a recent report by KuCoin, a leading global cryptocurrency exchange.
The report, part of KuCoin’s “Into The Cryptoverse: Understanding Crypto Users” series, reveals that more than half of Turkish adults are now investing in cryptocurrencies.
This article delves into the key findings of the report and explores the implications for the crypto industry, particularly in the context of NFTs and the Metaverse.
A Surge in Crypto Investors
The KuCoin report highlights that the percentage of crypto investors among Turkish adults has increased by 12% in the last 18 months, rising from 40% in November 2021 to 52% in May 2023.
This surge is noteworthy, especially considering the economic challenges Turkey has faced, including a depreciating lira. The data suggests that Turkish citizens are increasingly viewing crypto as a hedge against inflation.
Interestingly, while male investors still dominate the crypto landscape in Turkey, accounting for 57% of the total, there is a rising trend of female participation.
Almost half (47%) of crypto investors aged between 18 and 30 are female, indicating a decrease in the gender gap as crypto adoption becomes more widespread.
Young Generations Leading the Way
Younger generations are at the forefront of this crypto revolution. According to the report, 31% of overall crypto investors made their first investment in the last quarter, and 54% of investors under the age of 30 joined the market last year.
This youthful influence is not just limited to investment; it also extends to the types of assets being invested in.
The report outlines various motivations for investing in crypto, ranging from future wealth creation (58%) to value storage (37%) and portfolio diversification (25%).
Younger generations are more inclined towards ease of transfers and quick profits, while older investors focus on value preservation.
The NFT and Metaverse Connection
One of the most intriguing aspects of the report is the interest in NFTs and the Metaverse. About 21% of Turkish crypto investors show interest in NFTs, and 19% in the Metaverse.
The report reveals that 70% of Turkish crypto investors are involved in trading, and 22% have purchased NFTs. This suggests that the NFT market in Turkey is ripe for expansion, and platforms focusing on digital collectibles should consider Turkey as a key market.
Also, personal connections and online communities play a significant role in crypto adoption in Turkey. A majority (57%) of participants became familiar with crypto through family or friends, and 35% through online communities. This highlights the importance of community engagement in driving crypto and NFT adoption.
Actually, technological readiness of a country plays a significant role in the adoption of new technologies like blockchain and cryptocurrencies.
One of the most fundamental factors driving crypto adoption is the level of internet penetration in a country. According to data, Turkey has a high rate of internet usage, with approximately 58 million internet users as of 2021, representing about 70% of the population.
This widespread internet access provides a fertile ground for the adoption of digital assets, including cryptocurrencies and NFTs.
Also, the proliferation of smartphones is another key aspect that can’t be ignored. Mobile phones not only make internet access more convenient but also simplify the process of buying, selling, and managing cryptocurrencies.
With a majority of Turkish citizens owning smartphones, mobile-based crypto wallets and trading platforms have seen a significant uptick in usage. This ease of access is particularly appealing to the younger generation, who are more comfortable with mobile technology.
The KuCoin report provides invaluable insights into the burgeoning crypto market in Turkey. With a growing number of adults investing in cryptocurrencies and showing interest in NFTs and the Metaverse, Turkey is becoming a hotspot for digital asset investment.
This article is based on the KuCoin report “Into The Cryptoverse: Understanding Crypto Users in Turkey,” which can be downloaded here.
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