Survey: 14% Of Japan’s Young, Male Professionals Own Cryptos

Pratik Makadiya
  • A recently conducted survey shows Japan's young male workforce trends to invest in cryptocurrencies
  • An influx of Japanese investors was felt in the last quarter of 2017, when most cryptocurrencies hit all-time highs

According to a survey conducted by Japanese research institute Shin R25, a subsidiary of the publicly listed internet advertising company Cyber Agent, 14 percent of all young professionals in the Japan aged between 25-30 own cryptocurrency.

Japan is one of the most crypto friendly countries in the world, recognizing bitcoin as legal tender in April 2017. The nation is currently the biggest crypto market in the world, as according to CryptoCompare data the Japanese yen made up 52.8 percent of bitcoin’s trading volume in the last 24-hour period.

Crypto Investments

Shin R25 organized a countrywide survey to explore the percentage of virtual currency owners among employees in the 25-30 year old age group. The research organization used Macromill internet research to conduct the extensive survey.

The survey was conducted over the first quarter of 2018,  and 4,734 individuals participated in it. Out of those surveyed 14 percent admitted to have invested in cryptocurrencies, with  25 percent of all participants were new to investments. On the other hand, 72 percent of participants had experience investing.

Although cryptocurrencies are legal tender in Japan, 92 percent of respondents revealed they bought them as an investment, hoping prices would surge so they could make a profit. Moreover, 37.4 percent invested “for the time being because it is a trend.” About 20 percent did so thanks to an acquaintance’s recommendation.

An Influx Of Japanese Investors

2017 was a great year for the crypto space, as various cryptocurrencies hit new all-time highs during the year’s last quarter. Unsurprisingly, many Japanese investors entered the market at the time.

The survey notes that 79 percent of respondents entered the crypto space in 2017. 25 percent of Japanese professionals who had never invested in virtual currencies did so in Q4 2017. About 15 percent of respondents started investing in early 2018, when cryptocurrencies started plummeting.

Participants revealed that they have invested less in digital currencies because of their volatile nature. Over one-third of them revealed to have invested less than $500, while only a few invested large sums.

Even with the crypto market’s wild price swings, 50 percent of participants intend to continue investing in cryptocurrencies, while 35 percent plan on stopping.

UK's Regulator Warns Against Fraudulent Firm Cloning Financial Giant TP ICAP

The UK’s financial regulator, the Financial Conduct Authority (FCA), has uncovered another allegedly fraudulent crypto-related scheme.

On Friday (May 24, 2019), the FCA revealed that a company called ICAP Crypto had been impersonating an established firm known as ICAP Europe Limited. ICAP Crypto reportedly attempted to lure unsuspecting investors into a potential scam involving cryptocurrencies.

Using Company Details Belonging to Legitimate Financial Firms

While ICAP Crypto’s management does not claim its services are regulated by the FCA, the allegedly fraudulent firm has been using the company details that belong to legitimate UK-registered financial service providers.

The FCA has warned that the potential scammers operating ICAP Crypto may be using the company license information of established firms in order to lure investors into investing into a fraudulent crypto scheme.

According to the FCA, ICAP Crypto has provided contact information which may be “mixed” with details that belong to TP ICAP, one of the largest global interdealer brokers. Moreover, the FCA cautioned users that ICAP Crypto has launched a website that is not licensed by the FCA to offer financial services.

No Details Regarding Crypto Services

There’s also no association between the management and services provided by TP ICAP and ICAP Crypto, the UK’s financial regulator clarified. Furthermore, the FCA’s investigation has revealed that ICAP Crypto appears to be offering various crypto-related services including a platform to launch initial coin offerings (ICOs).

Although ICAP Crypto seems to be offering several different cryptocurrency-related products, the FCA found that the allegedly fraudulent firm has not provided any specific details regarding its services.

ICAP Crypto’s management states that its services include “a sophisticated blend of engineering with experience to empower thousands of marketers to access markets around the world through the use of digital currency entirely outside the traditional financial system.” However, it remains unclear what type of services the company actually offers.

FCA Planning To Draft Comprehensive Crypto Regulations

In January 2019, the UK’s financial regulator called for increased regulatory oversight over the leading European nation’s cryptocurrency market. In order to create regulations for digital assets, the FCA launched a consultation which requested feedback regarding how to regulate crypto transactions.

The FCA had specifically asked for feedback on how to regulate crypto exchanges, digital asset payment processing services, wallet providers, and broker dealers offering crypto derivatives.