While Almost 80% of Russians Know Crypto, Only 6% Understand It Well, Survey Finds – Bitcoin News

A new survey has revealed that while the vast majority of Russians living in large cities know the concept of cryptocurrency, only a few have a solid understanding. Experts believe that the currency restrictions earlier in the year have helped to increase interest and adoption.

Three-quarters of Russians are ready to buy crypto assets within a few months

Only 6% of Russian internet users are familiar with cryptocurrency concepts, despite 80% having heard about them. This is based upon a Tangem, a hardware wallet developer. The survey was conducted among more than 2,100 people in Russian cities.

According to the company, 45% are positive about digital coins. Nearly half of respondents (46%) have an neutral attitude, while only 9% see them negatively. Being able to earn capital gains is the main motive for those willing to buy, while the assets’ lack of backing is the key factor for rejection.

Nearly a third (31%) of those polled said they are willing to purchase cryptocurrency within the next six-months. A similar number (30%) did not plan to, while 40% were undecided. Kommersant, a Russian newspaper, noted that the article quoted the survey. 72% of participants had never used cryptocurrency.

A majority of crypto investors, 68 percent, bought it because they were curious about its capabilities. 22 percent wanted to invest to help save money, while 19% were looking to diversify their portfolios. Around 18% have decentralized digital currency to purchase goods and services, and 16% are able to hedge against inflation or fluctuations in foreign exchange rates.

Crypto’s popularity grows due to restrictions on foreign currencies

Among those who now hold cryptocurrency (24%), 7% own digital assets worth up to $100 in fiat equivalent, 9% – from $100 to $1,000, 8% – over $1,000. Vladislav Utushkin (founder of To The Moon), says that there is still very little involvement by ordinary Russian investors as well as investment funds in cryptocurrency.

Sergey Mendeleev is the executive director of Indefi Smart Bank. He stated that currently there’s no legal or legitimate way to sell or buy cryptocurrencies in Russia. He said that banks could block accounts and make it possible to lose money.

However, currency restrictions imposed by Moscow authorities this spring in response to mounting Western sanctions regarding the war in Ukraine have significantly accelerated cryptocurrency adoption. Nikita Vassev is the founder of Terracrypto, which hosts discussions about crypto legalization, decentralized finance and mining.

Vassev explained that people continue to send money from Russia via stablecoins and bitcoin, then exchange them for fiat currencies in other countries like Georgia or the United Arab Emirates. Chen Limin is the Chief Financial Officer at ICB Fund. According to Anatoly Aksakov, the Chair of the parliamentary Financial Market Committee, Russians had an estimated 5 trillion rubles (or $67 billion) worth of cryptocurrencies before the trend started.

Are you expecting Russians to be more familiar with cryptocurrency? Please share your views on this topic in the comment section.

Lubomir Tatsev

Lubomir Tassev is a journalist from tech-savvy Eastern Europe who likes Hitchens’s quote: “Being a writer is what I am, rather than what I do.” Besides crypto, blockchain and fintech, international politics and economics are two other sources of inspiration.